Didi Eyes Uber Battle in Mexico as Chinese Competition Heats Up

Didi Eyes Uber Battle in Mexico as Chinese Competition Heats Up

Xu Wei

Date: Tue, 04/24/2018 - 22:01 / source:Yicai
 Didi Eyes Uber Battle in Mexico as Chinese Competition Heats Up
Didi Eyes Uber Battle in Mexico as Chinese Competition Heats Up

(Yicai Global) April 24 -- The world’s largest ride-hailing operator Didi Chuxing Technology Co. has officially entered Mexico by rolling out services in Toluca, capital of the State of Mexico, as it looks to take on Uber Inc. once again and explore new markets amid rising competition at home.

Mexican, Chinese and United States departments worked together to bring the Beijing-based firm’s algorithm and security technology to Latin America, it said on social media yesterday. The app’s functions include emergency calls, dynamic security detection, trip sharing and a driver scoring system.

The move marks the first time Didi has offered its own services outside of Asia, though it has partners offering ride hailing around the world. The expansion comes shortly after Meituan Dianping, China’s largest on-demand service provider run by Beijing Sankuai Online Technology Co., rolled out competing services at home.

Didi will not charge drivers commission fees until June 17, it said, adding that it will begin charging a 20-percent rate after that, slightly less than Uber.

Didi drove Uber out of China’s cutthroat ride-hailing sector in 2016 by buying its brand and assets in the country, and has now locked horns with its arch-rival around the world, taking over Brazilian ride hailer 99 in January to further compete with its American rival. The turf battle in China cost both billions, winding up with the home team monopolizing the domestic market with a 90-percent share.

Editor: James Boynton

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Keywords: Didi, Mexico, Uber, Meituan, Ride Hailing