China Summons Freight Transporters for Talks, Warns Ride Hailing Platforms
Liao Shumin
DATE:  Jan 21 2022
/ SOURCE:  Yicai
China Summons Freight Transporters for Talks, Warns Ride Hailing Platforms China Summons Freight Transporters for Talks, Warns Ride Hailing Platforms

(Yicai Global) Jan. 21 -- China summoned four freight transporters, including Huolala and Didi Freight, for regulatory talks yesterday, demanding they correct arbitrary adjustment of pricing rules, such as vicious low-price competition and other issues.

Issues with the four road freight platform companies, such as surging membership fees, overloading transport and suspected violation of drivers’ legal rights and interests, have caused widespread dissatisfaction among truck drivers, according to a press release issued by the Ministry of Transport on WeChat today.

The ministry asked the firms, also including Full Truck Alliance and Kuaigou Dache, to make immediate rectifications. It urged them to strengthen the inspection of goods, ban the delivery of dangerous and prohibited goods, and prevent overloading and using illegally modified vehicles for transport.

On the same day, the ministry also cautioned four ride-hailing platforms, Didi Chuxing, Cao Cao Mobility, T3 and Meituan’s ride-hailing business, about the protection of the rights and interests of contracted drivers.

The ministry asked all platforms to take measures to protect the rights and interests of truckers and ride-hailing drivers by ensuring reasonable remuneration and rest time. They should also smooth the channels for drivers to express their opinions, respond to their reasonable demands in a timely manner, and effectively improve the working environment and conditions.

Last May, the ministry, the Cyber Administration of China, the National Development and Reform Commission and five other regulators jointly summoned 10 internet freight transporters and ride-haling platforms. The firms were rapped over high commission fees, the malicious undercutting of freight rates, arbitrary hikes in membership fees, and suspected infringement of the legitimate rights and interests of drivers, among other issues.

Shouqi Limousine & Chauffeur and Alibaba Group mapping unit AutoNavi were not among the eight firms summoned this time though they were called in by regulators last May.

The NDRC, the State Administration for Market Regulation and seven other agencies jointly issued the Opinions on Promoting Standardized, Healthy and Sustainable Development of Platform Economy on Jan. 19, which called for strengthening the protection of the rights and interests of workers in new forms of employment.

It required the adoption of policies and measures related to the rights and interests of delivery riders, ride-hailing driver and other workers.

Editor: Peter Thomas

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Keywords:   Huolala,Didi