Vice Chairman of the Vietnam National Safety Traffic Committee Khuat Viet Hung believed that if Uber Technologies Inc does business registration as per regulations in Vietnam, it will be eligible to provide Uber taxi app service in the country.
|Traditional taxi faces competition from Uber taxi service (Photo: SGGP)|
He told the press on Wednesday, a day after Transport Minister Dinh La Thang said Uber is a good service for residents and he instructed relevant agencies to legalize its operation.
According to Mr. Hung, the Transport Ministry received a document from the Ho Chi Minh City Taxi Association saying Uber taxi service illegal.
After studying, the ministry found that it is in fact not a taxi service but can be admitted as transport assistance service. Therefore, the ministry proposed authorized agencies to study the lawfulness of this transport service type.
To date, Uber has not done business registration in Vietnam therefore it is not legal, he said.
According to the Road Traffic Law, those with transport business licenses are eligible to provide their services via Uber in case it is licensed.
Uber plays the role as an agent or a transport trading floor and doest not take responsibility for transport service but carriers must do.
As a result, any organizations and individuals wanting to provide their services via Uber must do transport business registration. Taxi companies can also use the service if they want.
The Transport Ministry will instruct relevant agencies to provide requisite and necessary guidelines for Uber taxi service to operate in accordance with Vietnam’s current law.