Thailand suspends Uber and Grab motorbike service

Grabtaxi-BangkokThe Thai government ordered a suspension of the recently launched app-powered motorbike services by Uber and Grab because they “caused conflict” with those registered to provide taxi services and “broke local rules,” said Nunthapong Cherdchoo, a senior official at the Thai transport ministry.

Authorities arrested 66 drivers working for both companies. Offenders face fines of up to 4,000 baht ($112) and could have their licenses revoked.

There are more than 186,000 motorcycles registered to provide taxi services in Thailand, almost half in the capital Bangkok, according to government data. It is unclear how long the ban will be enforced, and both companies said they are seeking a solution.

GrabBike said it was working with the government to resolve the issue, while UberMoto said it would temporarily suspend services.

“GrabBike offers a service that reduces traffic in Bangkok, one of the world’s most congested cities,” Singapore-headquartered Grab said in a statement, adding that “staff are well-trained and insured.”

Uber’s Asia-Pacific spokeswoman Amy Kunrojpanya said that “we will temporarily suspend UberMoto services. We are doing it because we respect Thai laws. We see the need to cooperate with related agencies and have the intention to operate under the existing law.”

Motorbike app services are also popular in major Asian cities with heavily gridlocked traffic, such as Jakarta and Manila. However, the services are facing stiff opposition from established transport services. Earlier this year, taxi drivers in Jakarta brought parts of the capital to a standstill, with some protestors turning violent.



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The Thai government ordered a suspension of the recently launched app-powered motorbike services by Uber and Grab because they "caused conflict" with those registered to provide taxi services and "broke local rules," said Nunthapong Cherdchoo, a senior official at the Thai transport ministry. Authorities arrested 66 drivers working for both companies. Offenders face fines of up to 4,000 baht ($112) and could have their licenses revoked. There are more than 186,000 motorcycles registered to provide taxi services in Thailand, almost half in the capital Bangkok, according to government data. It is unclear how long the ban will be enforced, and...

Grabtaxi-BangkokThe Thai government ordered a suspension of the recently launched app-powered motorbike services by Uber and Grab because they “caused conflict” with those registered to provide taxi services and “broke local rules,” said Nunthapong Cherdchoo, a senior official at the Thai transport ministry.

Authorities arrested 66 drivers working for both companies. Offenders face fines of up to 4,000 baht ($112) and could have their licenses revoked.

There are more than 186,000 motorcycles registered to provide taxi services in Thailand, almost half in the capital Bangkok, according to government data. It is unclear how long the ban will be enforced, and both companies said they are seeking a solution.

GrabBike said it was working with the government to resolve the issue, while UberMoto said it would temporarily suspend services.

“GrabBike offers a service that reduces traffic in Bangkok, one of the world’s most congested cities,” Singapore-headquartered Grab said in a statement, adding that “staff are well-trained and insured.”

Uber’s Asia-Pacific spokeswoman Amy Kunrojpanya said that “we will temporarily suspend UberMoto services. We are doing it because we respect Thai laws. We see the need to cooperate with related agencies and have the intention to operate under the existing law.”

Motorbike app services are also popular in major Asian cities with heavily gridlocked traffic, such as Jakarta and Manila. However, the services are facing stiff opposition from established transport services. Earlier this year, taxi drivers in Jakarta brought parts of the capital to a standstill, with some protestors turning violent.



Support ASEAN news

Investvine has been a consistent voice in ASEAN news for more than a decade. From breaking news to exclusive interviews with key ASEAN leaders, we have brought you factual and engaging reports – the stories that matter, free of charge.

Like many news organisations, we are striving to survive in an age of reduced advertising and biased journalism. Our mission is to rise above today’s challenges and chart tomorrow’s world with clear, dependable reporting.

Support us now with a donation of your choosing. Your contribution will help us shine a light on important ASEAN stories, reach more people and lift the manifold voices of this dynamic, influential region.

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Personal Info

Donation Total: $10.00

 

 

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