In the proposal sent to the Ministry of Transport, the three associations representing for the north, the central and the southern regions accused Grab of continuous violations of Vietnamese law.
Hanoi, Danang City and HCM City’s taxi associations have continued to complain that Grab have affected their businesses
According to the associations, GrabShare services have appeared in many localities despite not being licensed. They also claim the merger between Uber and Grab showed signs of violations and there had been an increasing number of Grab cars which had worsened traffic in big cities.
The concept that Grab applications which have been registered by the Ministry of Industry and Trade as an e-commerce platform so Grab can operate nationwide under the ministry’s Decision 24 has created unfair competition, pushing taxi firms into difficulties the associations claim.
“We are concerned that Grab will manipulate the domestic taxi market without measures to ensure a fairer competitive environment,” the associations noted.
The associations have also asked the Ministry of Transport to remove the regulation that Grabtaxi services can be operated in any locality in the country in instances where Grab has signed co-operation contracts with taxi firms.
The associations argued that Grab needed to be regulated as a taxi firm as other taxi companies in Vietnam to ensure the fair competition.
Earlier, Grab expressed disappointment with the Ministry of Transport’s opposition to Grabtaxi operation expansion proposal.
