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Ministry denies Uber and Grab pilots ended

Released at: 10:01, 21/06/2017

Ministry denies Uber and Grab pilots ended

Illustrative image (Source: plo.vn)

Ministry of Transport dismisses rumors it brought an end to ride-hailing pilots.

by Minh Tuyet

The Ministry of Transport (MoT) stated on June 20 that pilot projects of transport companies using technology applications to connect and manage transport activities have not been suspended.

MoT said that, on October 19, 2015, the Prime Minster agreed with the ministry over the implementation of pilot projects using applications to connect and manage customer transport activities, in Document No.1850/TTg-KTN.

The ministry then issued Decision No.24/QD-BGTVT on January 7, 2016, under which all companies with suitable plans and projects and that commit to fully complying with Vietnamese law would be permitted to participate in the pilot.  

MoT has given permission to nine companies to take part: Grab Car, V.Car, Thanh Cong Car, S.Car, VIC. Car, Home Car, Uber, LB. Car, and Mai Linh Car. Initial results from the pilot have been quite positive, the ministry said, and found favor among the population.

It regularly organizes meetings and workshop to draw experience from implementing the pilot and continues to work with other ministries, cities and provinces, and related agencies on ensuring the pilot follows the directions from the Prime Minister.

“In all documents issued by MoT, there is no talk of ‘suspending or stopping’ the pilot project,” it said on June 20.

At a CEO Forum entitled “Industrial Revolution 4.0 - Gain & Lose” hosted by Vietnam Economic Times on April 7, Mr. Dang Viet Dung, General Manager of Uber Vietnam, said the substance of the fourth industrial revolution is the convergence of econophysics, digital economics, and biologics, based on the foundation of artificial intelligence. This will certainly alter the industrial sector in the future, he added.

Uber’s growing presence in over 450 cities in 70 countries ensures overseas visitors have a familiar and safe way to explore Vietnam and visit a broader and more diverse range of neighborhoods.

It has connected Ho Chi Minh City with international passengers from 66 countries and Hanoi with passengers with 62 countries. An Uber user in the US, for example, can book an Uber ride in Vietnam for a friend and the two can see the trip updated via smartphone.

Uber entered Vietnam in July 2014 and late last year Vietnam became the first country in Southeast Asia to launch cash payments, and since then a significant proportion of fares have been paid for by cash. uberMOTO was also launched earlier this year, providing motorbike taxis with lower fares.

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