Taxies wait for passengers at the Qingdao railway station on Oct 7, 2016. (Photo by Huang Jiexian/For China Daily)
(Ecns) -- Taxi drivers are seeing a surge in orders with the landing of China's first national regulations on ride-hailing car services on November 1.
A taxi driver surnmaed Lin in Beijing is happy to see his orders doubled in the recent two weeks. During the days when operators like Uber and Didi were sticking to low-price policies, Lin could only earn 300 yuan ($44.3) for more than 10 hours a day. In recent weeks, however, his daily income nearly tripled.
The new rules give legal status to the ride-hailing services with a stricter limit on drivers, vehicles and platform operators. Drivers of taxis and private cars should obtain specific licenses first to offer the service. Applicants must have at least 3 years driving experience, with no record of dangerous driving, criminal or violent offences or health issues.
The regulations demand cars applying to offer ride-hailing services be equipped with positioning and emergency alarm devices, and have run no more than 600,000 kms.
Meanwhile, car-hailing operators are also asked to ensure safety and interests of customers and are banned from engaging in unfair competition.
Industry experts believe elevated thresholds for drivers and cars as well as a slash in subsidies may push some private cars out of the industry, which will offer a chance for taxi drivers to fill the gap.
Many customers are returning to taxi services, said taxi driver Xu from another company, who observed that many of his orders these days are shifted from private cars.
Ride-hailing operators are also adjusting their strategies and refocusing on taxis. Didi Chuxing, for example, is partnering with some 50 taxi companies in more than ten Chinese cities and trying to integrate the system to allow taxi drivers to compete with private cars.
Zhang Bei, Vice President of Didi Chuxing, believes that integration of the ride-hailing service pattern and taxi resources could help boost efficiency and service quality in the taxi industry.
According to Beijing News, Ningbo and Hangzhou has rolled out detailed measures together with state regulations. Around 58 other cities, including Beijing and Shanghai, are still seeking public opinion on drafted rules.
In cities with no specific rules in place, major operators are still assigning orders to private cars since November 1, according to media reports. But without a guaranteed legal status, private car drivers like Wang in Beijing are still worrying about being punished.
Analysts say big cities may be more prudent in drafting their own rules, as authorities have to balance customer needs and the healthy development of city transportation.
