[HONG KONG] Uber Technologies is e-mailing Hong Kong users to raise concerns about rules the city is formulating, warning the government could cap the number of drivers or vehicles allowed on the platform.
The San Francisco-based company said any such limit would reduce opportunities for drivers to earn money and could lead to more cancellations and longer wait times, according to the e-mails, which are being sent to 30,000 Uber drivers and 1.5 million people in the city who have used the service in the last year.
Hong Kong is expected to release new ride-hailing regulations in the coming months after last year outlining long-awaited but ambiguous plans to regulate the industry. Those plans included imposing licenses on platforms and adopting tougher penalties for rule breaking.
The Hong Kong government did not immediately respond to a request for comment.
Uber has become a popular alternative to the city’s local taxi services, which have for years drawn the ire of residents and tourists alike.
The company launched in Hong Kong in 2014 and seven years later acquired the HKTaxi app, a widely used platform for hiring cabs. Uber offers traditional ride-hailing and services such as Uber Taxi, which allows users to book local taxis through the firm’s own app.
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Hong Kong taxi drivers in 2023 threatened to go on strike to protest the government’s unwillingness to regulate ride-hailing services. Uber’s presence has made it a target of Hong Kong’s taxi industry, which says Uber deprives it of revenue each day and creates unfair competition.
In March, Uber suggested regulatory measures such as ensuring platforms be licensed and have safety measures and insurance in place, and that drivers be licensed and pass background checks.
Uber’s general manager for Hong Kong, Estyn Chung, said that people in the city value ride-sharing.
“We hope the government is considering a regulatory framework that prioritises safety, meets the needs of riders and drivers, and enables ride-sharing and taxis to grow side by side,” he said.
In the US, Uber and rival Lyft have sent e-mails and used their apps to communicate with drivers and riders about proposed rules in various states and cities.
Meanwhile, Uber may soon face increased competition in the city from China’s Didi Global, which has been quietly recruiting new drivers in Hong Kong as it looks to grow outside of the mainland. BLOOMBERG
