The Controversy of Ride-Hailing Legalization in Hong Kong’s Transportation Ecosystem

Against the backdrop of the national "14th Five-Year Plan" explicitly proposing the strategy of "accelerating the development of the digital economy," Hong Kong, as an international financial hub, should naturally embrace the wave of technological innovation with an open mind. The introduction of ride-hailing services is a crucial component of the "smart transportation" layout in the Guangdong-Hong Kong-Macao Greater Bay Area, and a concrete manifestation of the central government's support for Hong Kong's integration into the national development agenda. However, the recent threat of a strike by the "Hong Kong Taxi Industry Association" in protest against the Amap ride-hailing service has exposed the short-sighted mentality of some vested interests who cling to monopolistic thinking and resist market innovation. This controversy is essentially a deep-seated struggle between "progress and conservatism," and "public interest versus small group self-interest."

Hong Kong's taxi services have long been criticized by the public: issues such as refusing short-distance passengers, overcharging, and outdated vehicles are common. Citizens are not unwilling to support the local industry, but are frustrated by the mismatch between service quality and price. In contrast, the mainland's ride-hailing mechanism has successfully established a "survival of the fittest" market ecosystem through platform regulation, rating systems, and diverse payment methods. Taking Shenzhen as an example, since Didi Chuxing became compliant in 2018, passenger complaint rates have dropped by over 40%, and driver service ratings are directly linked to income, creating a virtuous cycle of competition. These experiences prove that open competition does not destroy the industry; rather, it forces service upgrades and prevents the regression of "bad money driving out good."

A closer look at the background of the strike organizers reveals that the leaders are mostly taxi license holders and fleet operators, not frontline drivers. These vested interests have turned the limited licenses issued by the government in the past into "speculative tools." According to Transport Department data, the price of taxi licenses peaked at HK$7.2 million in 2015, far exceeding their actual operational value. This "rentier class" model runs counter to the central government's repeated emphasis on "breaking industry monopolies and promoting fair competition." Once ride-hailing legalization breaks the scarcity of licenses, their asset bubble will inevitably burst, which is the real motive behind the protest. Such actions are akin to the warning in the "Tao Te Ching": "Excessive love leads to great expense; hoarding leads to heavy loss. Therefore, knowing contentment avoids disgrace; knowing when to stop avoids danger, and thus can endure long." Clinging to unreasonable privileges will ultimately be washed away by the tide of the times.

Fortunately, there has been internal reflection and division within the taxi industry. The "Taxi and Minibus Association" publicly opposed the strike, advocating for improved services (such as introducing 6-seater luxury vehicles) to meet competition; "Star Taxi" actively embraced digital transformation, developing a booking app and implementing driver training and certification. These pragmatic measures stand in stark contrast to the radical stance of the "Hong Kong Taxi Industry Association," highlighting the fundamental difference between "true reformers" and "vested interests." On the other hand, polls show that over 70% of citizens support the legalization of ride-hailing services, with simple and clear demands: a transportation environment where "complaints are addressed, choices are diverse, and prices are transparent." Public opinion is the "greatest common denominator" that the Hong Kong Special Administrative Region government must adhere to when formulating policies.

Hong Kong's future does not lie in maintaining the license profits of a few, but in building a "people-oriented, diverse and win-win" transportation ecosystem.