Ministry of Transport denies GrabVietnam’s expansion plan

Vietnam’s Ministry of Transport has rejected a proposal from GrabVietnam to extend its ride-hailing service into the country’s southern and central highland provinces. The company is required to cancel its launch in the provinces of Ninh Thuan, Dong Thap and Gia Lai. Additionally, Grab is prohibited from working with taxi drivers without the approval of transport operators and transport departments. According to a report by The Saigon Times, the ministry says the application of technology to make c
June 29, 2018 Read time: 2 mins
Vietnam’s Ministry of Transport has rejected a proposal from GrabVietnam to extend its ride-hailing service into the country’s southern and central highland provinces. The company is required to cancel its launch in the provinces of Ninh Thuan, Dong Thap and Gia Lai.


Additionally, Grab is prohibited from working with taxi drivers without the approval of transport operators and transport departments.

According to a report by %$Linker: 2 External <?xml version="1.0" encoding="utf-16"?><dictionary /> 0 0 0 link-external The Saigon Times false http://english.thesaigontimes.vn/60779/transport-ministry-rejects-grabtaxi%E2%80%99s-service-expansion.html false false%>, the ministry says the application of technology to make commuting easier for residents is only available for licenced operators whose vehicles have a transport service badge. These companies must adhere to business transport regulations, ensure fair competition and pay duties enforced by the state.

The ministry’s ruling on pilot schemes for ride-hailing businesses reportedly allows GrabTaxi to operate in regions such as Hanoi, Ho Chi Minh City, Khanh Hoa, Danang and Quang Ninh.

In March, minister Nguyen Van The said ride-hailing firms must comply with Vietnamese laws or have their operations halted. The move is intended to improve the responsibility these companies have for drivers and passengers.

The report says the ministry is now developing its automobile business operations to keep app-based firms under control.

Urban Traffic Control

Related Content

  • Lime and rivals form Nordic Micromobility Association
    August 29, 2019
    Lime and its competitors Tier and Voi have formed the Nordic Micromobility Association to promote safety standards for electric scooters. The association will seek to strengthen relationships between Nordic cities and micromobility businesses as well as reduce emissions. Earlier this year, Voi announced its plans to launch e-scooters in Lisbon as part of a wider ambition to expand in Europe. The association’s members are not the only companies working to improve the safety of e-scooters. Last ye
    Read More
  • Zipcar deploys car sharing service across eight London Boroughs
    January 3, 2018
    Floating car service Zipcar Flex (Zipcar), which is said to save 54% of transport costs compared to ride-hailing companies, has been made available to 3.5m Londoners across several Boroughs. The 29p per mile solution is designed to provide its members an environmentally friendly alternative to private car ownership and will only charge for the exact time of their trip. Members can use the car for a one-way journey and be dropped off in one of the thousands of spaces available within its Zipzone, which
    Read More
  • Petrol/diesel cars could be fined for using London’s ‘electric streets’
    September 4, 2018
    Drivers in London, UK, could be fined £130 for not using electric or hybrid vehicles on nine ‘electric streets’. The project is intended to cut pollution and improve air quality. Drivers of petrol and diesel cars will be restricted from using some roads in the Shoreditch and Old Street areas of the city between 7am-10am and 4pm-7pm on weekdays.
    Read More
  • Uber IPO ‘could be valued at $120 billion’
    October 17, 2018
    Uber could be valued as high as $120 billion if the ride-hailing company goes public, as expected, in 2019 – despite being permanently in the red. Major US banks Goldman Sachs and Morgan Stanley have made valuation proposals to Uber, according to a report in the Wall Street Journal this week. This means the initial public offering (IPO) could be one of the largest in history – and Uber has yet to record a full-year profit. If the figure is correct, it would mean that Uber is worth more than three of the
    Read More

Highlighted Content