China to Issue Uber-Like Taxi App Regulations Soon

Mar 05, 2015 11:44 AM EST | Matt Mercuro

China is hoping to have regulations issued on using mobile apps to book private cars sometime during the first half of 2015, its transport minister said on Thursday.

"I'm hopeful (the regulations) will be published within the first half of the year," said Yang Chuantang, the ministry's chief, according to the official China National Radio (CNR.)

China's Ministry of Transport banned all taxi-hailing apps like Uber in January from using drivers and cars without taxi licenses in an attempt to regulate the growing market.

The Ministry of Transport has supposedly finished assessing opinions on regulating private drivers and will now seek public comment after the annual full session of China's parliament, according to CNR.

The parliamentary session is set to end on March 15.

Since being banned in China, the status of Uber in China and other private car-hailing apps like Didi Dache and Kuaidi Dache have been unclear.

Yang said private car services have a positive effect on the transport market, but there are currently too many services were private cars are operating illegally, according to a separate report from official state news agency Xinhua.

The ministry's chief said the responsibly of the operators isn't clear enough and the passenger's legal rights and safety are not "protected," which is a big problem.

 Apps like Uber, Kuaidi and Didi represent about 90 percent of China's taxi app market at one point. The two companies announced in February that they would merge to create what they believe will be one of the world's largest smart-phone based transport services, according to Reuters.

Uber has caused trouble in other areas over licensing issues as well. Cities like Amsterdam, Berlin, New Delhi and Portland, Oregon have banned or looked to ban Uber services recently.

Uber is valued at around $40 billion currently in its latest fundraising.

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