Chinese Authorities Unite to Tighten Ride-Hailing Regulation After Didi Murder
Xu Wei
/SOURCE : Yicai
Chinese Authorities Unite to Tighten Ride-Hailing Regulation After Didi Murder

(Yicai Global) June 6 -- Seven Chinese authorities, including the Ministry of Transport, want to reinforce joint supervision over ride-hailing services after a woman was murdered during a trip booked via Didi Chuxing.

The regulators will form a joint regulatory mechanism to share information they hold on ride-hailing firms, their drivers, tax payments and other information to avoid unfair competition, tax evasion and other problems, they said in a statement yesterday.

The move follows the death of a 21-year-old air stewardess on May 6, whose attacker fled the vehicle and was found dead in a river a week later. China's internet rebuked Didi's immediate response to the death -- offering a bounty for the driver's whereabouts -- a stance seconded by the transport ministry.

"Some ride-hailing companies have no longer assumed their social responsibilities, but indulged in violating the interests of drivers and passengers, after they have grown to larger companies," the agency said online on May 11. "These companies only regard vehicles as their tools to increase traffic and valuation. They only care about their investors, but not about passengers' experience or drivers' needs."

Companies which continue to flaunt the law may be forced to suspend services or see their apps withdrawn from stores, according to yesterday's statement. Firms operating in only one province will be handled by local regulators, while those running across multiple provinces will have their cases overseen by the central government.

The ministries also called for improved emergency responses to incidents and innovative approaches to supervision.

Editor: James Boynton

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Keywords: Didi Chuxing , Ride Hailing , REGULATION , TRANSPORT , Murder