Shanghai Transport Commission has set up a task force with Didi Taxi-Kuaididache to work out a proposal for chauffeur services in the city within one to two months.
The commission will activate the online Shanghai taxi information service platform on June 1. Initially the platform will mainly collect and manage taxi data, but it will be extended to cover the car hire segment in future. The commission is researching the development of an identification function for car hire operators registered on the platform, according to commission chief Jianping Sun.
Mr. Sun said it is clear there is demand for car hire services from Shanghai residents as there is an acute shortage of taxis in the city during peak hours. Car hire service can not only alleviate the pressure on city transportation but can also provide an alternative to traditional taxi service and meet diverse customer needs. Thus city authorities are supportive of such new service in Shanghai.
Didi-Kuaidi’s CEO Wei Cheng said the company has always played the role of “instigator” in the market and their arrival in Shanghai had caused no small stir. Didi-Kuaidi will work closely with the transport commission to jointly develop the legal framework within which the car hire segment will operate.
Didi Taxi has become the largest mobile platform for commuting in China since its establishment in 2012. Didi Chauffeur Service is the top chauffeur service in China with a market share of 80.9% as of Q1 2015, according to the latest statistics from Analysis International.(Translation by David)
