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Oscar Liu

Ride-hailing giant Uber has urged the Hong Kong government not to over-regulate industry platforms, saying its own data shows that services and drivers need flexibility, with the city set to legalise such firms next year after operating in a grey area for a decade.
US-based Uber, the dominant player in Hong Kong, submitted a document to the legislature on Wednesday to show the importance of ride-sharing as a critical income source for residents, a day after the government revealed a legal framework on regulating the industry.
It said that the government should not limit the number of ride-hailing platforms and the number of vehicles.
“Regulatory requirements should prioritise passenger safety and service quality, avoiding overly complex licensing,” it said.


Uber said more than 110,000 drivers had made a living through ride-sharing since it launched its service in 2014.
“As a crucial component of the gig economy, ride-hailing platforms offer a flexible and convenient income source for individuals from diverse backgrounds, including those juggling multiple jobs, retirees and new parents,” Uber said.
“Ride-hailing drivers can decide their own working hours and methods, and during economic downturns, platforms also provide essential temporary income streams for drivers, making ride-hailing an indispensable and flexible way to earn income.”
A survey conducted in June by Uber found that 31 per cent of its drivers earned all of their income from ride-sharing, and more than two-thirds derived more than half. Meanwhile, 61.5 per cent of respondents indicated they would be “unable to make ends meet” if they lost ride-sharing as an income source.
Under the proposed legal regime, Hong Kong will allow ride-hailing platforms to compete with taxis after a decade of operating in a legal grey area, aiming to balance competition and ensure the survival of the taxi trade.
The framework includes a per-trip levy on ride-hailing services to compensate the taxi trade. Platforms will also face licensing fees based on fleet size, while operators, drivers and vehicles will require renewable licences to curb speculative trading.
While vehicle numbers per platform will be capped, specific operator quotas are still under review.
Uber said a lack of flexibility or overly stringent rules would contradict the adaptable nature of ride-sharing services. Point-to-point transport services required flexible driver supply to meet demand fluctuations, it added.

Lawmaker Gary Zhang Xinyu said the current situation of unregulated platforms was abnormal.
“I don’t need to worry about Uber operating at a loss. It has essentially been operating without regulation and without risk, paying no taxes and no licence fees. This is actually abnormal,” Zhang said.
“Uber is the only company that is genuinely doing this on a large scale. The private car services of the other few actually aren’t getting many calls.”
He was referring to newcomers Singapore-based Tada, and Chinese operators Amap and Didi Chuxing. Amap is operated by Alibaba Group Holding, which also owns the South China Morning Post.
“I believe that after legalisation, the commission structure of Uber will change. Platforms are likely to lower the commission rates they charge drivers to compete for market share,” Zhang said.
Uber said more than 5 million passengers had used its services since the firm started operating in 2014.
Among the users, 2.5 million of them had used ride-hailing services between April 2024 and March this year alone. During the same period, more than 1 million visitors from 149 countries also used ride-sharing in Hong Kong.
“Ride-hailing services have become a daily travel choice for many in Hong Kong, highlighting a clear public demand,” it said.
A recent survey by the Public Transport Think Tank of Hong Kong found that up to 80 per cent of respondents agreed that cabs and taxi fleets could not replace ride-hailing services.
Citing the think tank’s findings, Uber said: “This reflects the public’s desire for more diverse point-to-point transport options.”


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News

Hong Kong

Transport

Uber says government should not limit the number of ride-hailing platforms or vehicles under proposed regulations for platforms


Uber says government should not limit the number of ride-hailing platforms or vehicles under proposed regulations for platforms.
