Taiwan to slap fines on Chinese Uber clone Yongche
Lin Shu-hui and Staff Reporter
2015-03-25
A mobile phone user shows the Yongche app on his device. (Photo/CNS)
Taiwan's Ministry of Transportation and Communications has said that Chinese car rental company Yongche failed to register its investment license in Taiwan according to local rules imposed on mainland Chinese enterprises, and thus may be subject to a NT$150,000 (US$4,800) fine, with its cars' plates suspended for two to six months, reports our Chinese-language sister paper Commercial Times.
The ministry said Taiwan's laws forbid private vehicles to be operated as a means to bring income to their owners. Furthermore, drivers in the transport industry must have a properly registered professional license which allows them to make a living by carrying freight or passengers with their registered vehicles.
In July 2014, Uber, an American company that operates vehicles for hire via the internet, was fined over NT$10 million (US$320,000) by Taiwanese authorities for failing to register their operations. The company was also found to be using private vehicles for its business. Uber services were cheaper than registered taxis in Taiwan.
Yongche operates a system of vehicles for rent similar to Uber. Yongche has not applied for any business license and the ministry has asked monitoring authorities to crack down on vehicles operated by the company.
