JavaScript is off. Please enable to view full site.

​Vietnam transport ministry rejects Grab’s proposal to expand operations 

​Vietnam transport ministry rejects Grab’s proposal to expand operations 

Sunday, June 24, 2018, 10:55 GMT+7

Vietnam’s leading transport authorities have opposed Grab’s proposal to expand its services to more areas in the country, citing the ride-hailing firm’s trial stages and implicit failure to meet major business conditions.

The GrabTaxi Ltd wanted to operate in many more cities and provinces like those in the Mekong Delta, Central Highlands and south-central regions, beyond the five offically allowed areas of Hanoi, Da Nang, Ho Chi Minh City, Khanh Hoa Province and Quang Ninh Province.

But the Ministry of Transport did not approve the expansion, chiefly because the hitherto dominant ride-hailing competitor in the country is still running its services in trial periods.

The ministry said while it encourages the use of apps for improved service and passengers’ convenience, the support only covers licensed transit companies which have registration stickers on its vehicles’ windshields, demonstrate transparency and fairness in competition, and pay taxes.

The transport administration, however, did not state whether Grab has satisfied any of these conditions.

The ministry also required the enterprise not to recruit taxi drivers without clearances from local transportation authorities.

In January, Grab encountered a rejection after making a similar proposal to offer taxi services in the provinces of Thu Thien-Hue in central Vietnam, Ba Ria-Vung Tau in the south and Lam Dong in the Central Highlands.

Responding to the ministry’s refusal, the company said taxi booking was already integrated in the app approved by the Ministry of Industry and Trade in the beginning, and allowed to be utilized legally nationwide, according to domestic news media.

Grab said its services have actually long been offered in provinces neighboring Ho Chi Minh City although they do not appear in the five-area list for the pilot operation.

Like us on Facebook or follow us on Twitter to get the latest news about Vietnam!

Thai Xuan / Tuoi Tre News


Read more

Have you ever tasted Vietnamese coconut nectar?

Once used as a kind of natural sugar by the ethnic community of Khmer in the Mekong Delta province of Tra Vinh, coconut nectar did not become a commodity because of limited demand

3 days ago



Vietnamese woman gives unconditional love to hundreds of adopted children

Despite her own immense hardship, she has taken in and cared for hundreds of orphans over the past three decades.

Vietnam’s Mekong Delta celebrates spring with ‘hat boi’ performances

The art form is so popular that it attracts people from all ages in the Mekong Delta

Vietnamese youngster travels back in time with clay miniatures

Each work is a scene caught by Dung and kept in his memories through his journeys across Vietnam

Latest news

The shortcut generation in Vietnam

Per standard Vietnamese road etiquette, anybody stopping for anybody is a miracle, a sight to behold, with the driver’s polite gesture being the absolute pinnacle of respect