China targets unlicensed ride-hailing drivers and vehicles amid Didi investigation

The Ministry of Transport orders local authorities to enforce driver and vehicle licensing requirements on ride-hailing platforms. Efforts by rivals of market leader Didi Chuxing to attract new drivers have attracted government scrutiny. — SCMP

China’s Ministry of Transport, the country’s key ride-hailing regulator, warned platforms not to sign on drivers or vehicles that are unlicensed, in Beijing’s latest attempt to regulate a sector that has seen smaller players jostling for market share after Didi Chuxing was banned from registering news users and drivers.

The regulator, one of seven ministerial bodies involved in a cybersecurity investigation into Didi, published a statement on Sept 8 asking local transport departments to “strengthen supervision” and “intensify crackdown” on irregular operations carried out by ride-hailing platforms. Authorities were urged to clamp down on unlicensed drivers and vehicles.