(Yicai Global) May 12 -- Bookings for ride-hailing cars in China jumped 48 percent last month from a year earlier, with some cities warning that the market is becoming saturated.

Some 706 million ride-hailing orders were placed in April, regulatory system data showed yesterday. The numbers of licensed drivers climbed 3.4 percent to 5.4 million from March, while ride-hailing vehicle transport permits rose 2.2 percent to 2.3 million.

As the effects of the Covid-19 pandemic wane, travel has been returning to normal, and the online hiring of personal drivers will grow significantly this year, according to Chen Liteng, an analyst at digital economy website 100EC.cn.

Competition is becoming increasingly fierce, with more drivers and vehicles joining the ride-hailing sector. Zhuhai, Jinan, and Suining have warned about a saturated ride-hailing market, pointing out the presence of idle or loss-making cars and cautioning firms intent on joining to step cautiously.

Sanya will stop accepting applications for ride-hailing business licenses and will no longer issue ride-hailing vehicle transport permits, the resort city in Hainan province has said.

Platform operators are attempting to avoid setbacks by introducing paid self-driving autos. Didi Autonomous Driving and electric vehicle maker GAC Aion plan to set up a joint venture to mass-produce robotaxis, according to May 10 deal. The cars will hit the roads in 2025, they said.

T3 Mobility aims to place 1,000 Level Four self-driving cars into commercial use in the next three years, according to Cui Dayong, chief executive of the Nanjing-based ride-hailer, adding that 2027 will be a turning point for autonomous driving.

Editor: Martin Kadiev