Green Light Turns Yellow for China's Ride-Hailing Industry

(Beijing) — Tough new local restrictions being imposed on China's burgeoning ride-hailing industry threaten the livelihood of Beijing businessman Jia Guobin.

Since 2014, business has been booming for Jia as rapid expansion of the Internet-based ride-hailing sector resulted in an explosion of demand for the cars he leases to drivers. But regulators in the city now plan to require that all drivers have Beijing household registrations. That would slam the door on migrant workers from other regions, who account for more than 80% of the drivers working with Jia.