Caixin
Mar 03, 2017 03:51 PM
BUSINESS & TECH

Didi Awarded National Operating License

A woman places an order on a touch screen at a Didi pickup station in Shanghai in October 2015. Photo: IC
A woman places an order on a touch screen at a Didi pickup station in Shanghai in October 2015. Photo: IC

Leading private-car services firm Didi Chuxing announced it has received an operating license, becoming the industry’s third major player to win official accreditation in China. The central government recently required licensing for all such operators in a bid to bring more order to the industry pioneered by U.S. giant Uber Technologies Inc., whose service lets subscribers use smartphone apps to book rides with private car drivers. Such services have been opposed by taxi drivers, who say it steals their business, but China has decided to award licenses to major players anyway. Didi’s license was issued by the eastern port city of Tianjin, where it is registered. The previous license recipients were Shouqi Limousine and Chauffeur, which got its license in Beijing; and UCar, which received its license in the southern province of Fujian. All three are allowed to operate nationally.

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