After Two Murders, Chinese Cities Cite Didi for Driving Without a License
Qian Tongxin
DATE:  Aug 30 2018
/ SOURCE:  Yicai
After Two Murders, Chinese Cities Cite Didi for Driving Without a License After Two Murders, Chinese Cities Cite Didi for Driving Without a License

(Yicai Global) Aug. 30-- Two murder-rapes of womenriders within three monthsat the hands of drivers operating under the medallion of Chineseride-hailing mammoth Didi Chuxinghavestirred up a hornet's nestof public outrage throughout the country.

The governmentsof several Chinese cities have met in successionwith representatives of the online taxi servicein consequence. The main boneof contention underlying thesetalks isDidi's lack ofauthorizationfrom authoritiesto ply the ride-sharing business in many locations in which it operates.

Online car-hailing providers must receive approval from city transit agencies, per Chinese government regulations.Didi has thus far only obtained these grants from 40-pluscities, among themBeijing, Guangzhou and Shenzhen,but notfrom Shanghai and a further 300. Didi isthusa rogueactor in these places.

Beijing,Shanghai and other cities with strict administration of ride-hailing haveimposed the rule thatride-sharedrivers mustbelocals, as must their cars.

Didi and other playershave nonethelessillegally taken onunlicensed personnel and cars,and corresponding complaints have been common since the national rulesissued two years ago.

The main reason for Didi'sfailure toobtainthe requisitelicensingwas that somecars and driversdid not qualify under the rules, Ma Fei, deputy director of Shanghai's transport bureau,said in April. Hisoffice discussed this matter with Didi several times, he added.

Didi has also shrugged off the penalties levied against it forusing illegalcarsand drivers. Ithas been fined more than CNY100,000(USD14,580) eighttimes since 2015, and Didi personnel have actively cooperated, submitted to and timely paid the fines, but thenfailed to rectify thereafter, Ma said.

The burgeoning ranks ofdrivers andcars involved in the illegal operationrenderadministration problematic.

Fewerthan 10,000of the410,000Didi drivers in Shanghai complywith the local household registration requirement, which means Didi has been effectively thumbing its nose at officialdom there since day one.

Editor: Ben Armour

Follow Yicai Global on
Keywords:   Didi Chuxing,Unlicensed Operation,Part-Time Work,Legislation