A PYMNTS Company

Hong Kong Plans to Regulate Ride-Sharing Services Like Uber

 |  July 17, 2025

The Hong Kong government has announced plans to introduce a licensing framework for online ride-hailing services, a move aimed at tightening oversight of platforms such as Uber while balancing concerns from traditional taxi operators.

    Get the Full Story

    Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins required.

    yesSubscribe to our daily newsletter, PYMNTS Today.

    By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions.

    According to ABC News, the proposed regulatory system would require companies, vehicles, and drivers involved in ride-hailing to obtain licenses before offering services to the public. The plan, outlined in a government document submitted to the Legislative Council on Tuesday, lays out a series of requirements for platform operators, including business registration, a physical office in Hong Kong, and evidence of sufficient operational experience and financial strength.

    The licensing scheme also imposes eligibility conditions on drivers. As per ABC News, applicants would need to have held a private car license for at least one year, demonstrate a clean driving record over the previous five years, complete relevant training, and pass a government-administered test. Additionally, participating vehicles must be under seven years old and undergo annual inspections to maintain compliance.

    Read more: DoorDash, Grubhub, and Uber Eats Settle With NYC Over Cap Fees

    Hong Kong’s current laws prohibit private vehicle drivers from offering paid transportation services without a permit, a restriction that has led to periodic police crackdowns on unlicensed ride-hailing drivers. In 2018, more than two dozen Uber drivers were fined for operating without proper authorization, ABC News reported.

    The government also signaled it would place a cap on the number of vehicles allowed under the scheme—a proposal that has drawn mixed reactions. While Uber Hong Kong expressed support for a regulatory framework that emphasizes safety and service quality, the company voiced concerns over the proposed vehicle quota. In a statement, Uber warned that such limits could result in longer wait times for passengers, increased fares, and fewer income opportunities for drivers.

    In addition to enhancing oversight, the government said it is considering fees on ride-hailing platforms to help fund efforts aimed at improving the traditional taxi sector. It also proposed that companies integrate licensed taxi drivers into their digital platforms, a move designed to promote greater collaboration rather than competition between the two sectors.

    Hong Kong Chief Executive John Lee acknowledged the complexity of the issue but emphasized the need to act without further delays. Per ABC News, Lee stressed the importance of establishing a foundational regulatory framework that allows both online ride-hailing and conventional taxi services to coexist.

    Related: ABC News