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Hong Kong taxi trade at critical crossroads

  • The industry must rise to the challenge of new services and technologies and adapt or risk being further marginalised
Topic | Hong Kong

SCMP Editorial

Published:

Updated:

Hongkongers have a love-hate relationship with taxis. While the abundance of cabs and the relatively cheap fares continue to keep the ageing workforce and fleet on the road, declining passenger satisfaction and growing competition from ride-hailing apps are threatening its survival. The industry is in need of serious reform. The urgency is heightened by the less-than-glowing findings in the latest survey by the Hong Kong Taxi Council. Only 55 per cent of passengers were satisfied with the taxi trade, down from 70 per cent in 2019. Some 37 per cent of the respondents labelled the service “average”; while a little more than 8 per cent rated it as “unsatisfactory” or “extremely unsatisfactory”. The statement “drivers treat passengers politely” was only endorsed by some one-third of respondents, mustering a score of 3.21 out of 5, the lowest among the metrics covering vehicle comfort, road safety and convenience.

If there is any comfort from the findings, it would be the relatively good ratings from tourists. Their average score for the industry hit 81, out of 100, compared to the overall of 58. It is good to hear that the industry has apparently helped the city build a positive image, as taxis are likely to be among the first encounters for arrivals.

It is not clear whether the spate of accidents involving elderly drivers has affected perceptions of the industry among locals. But the overall tepid findings have again flagged attention to driver professionalism and other long-standing problems with the trade.

The industry has, not surprisingly, linked the falling ratings to competition from Uber and other ride-hailing apps and the ageing workforce and fleet. Be that as it may, the former is a worldwide trend that cannot be undone. The latter, which resulted in a series of serious traffic accidents in the past few months, has also prompted authorities to tighten health checks for elderly drivers.

But the reform must go beyond that. The lucrative licensed taxi trade is still holding back an overhaul of the provision of private transport expedited by innovation and technology. The industry has been sitting back for too long. It must rise to the challenge and adapt or risk being further marginalised like its counterparts in some overseas cities.

Editorials represent the views of the South China Morning Post on the issues of the day.
Hong Kong Hong Kong taxis

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Hongkongers have a love-hate relationship with taxis. While the abundance of cabs and the relatively cheap fares continue to keep the ageing workforce and fleet on the road, declining passenger satisfaction and growing competition from ride-hailing apps are threatening its survival. The industry is in need of serious reform. The urgency is heightened by the less-than-glowing findings in the latest survey by the Hong Kong Taxi Council. Only 55 per cent of passengers were satisfied with the taxi trade, down from 70 per cent in 2019. Some 37 per cent of the respondents labelled the service “average”; while a little more than 8 per cent rated it as “unsatisfactory” or “extremely unsatisfactory”. The statement “drivers treat passengers politely” was only endorsed by some one-third of respondents, mustering a score of 3.21 out of 5, the lowest among the metrics covering vehicle comfort, road safety and convenience.

If there is any comfort from the findings, it would be the relatively good ratings from tourists. Their average score for the industry hit 81, out of 100, compared to the overall of 58. It is good to hear that the industry has apparently helped the city build a positive image, as taxis are likely to be among the first encounters for arrivals.


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Editorials represent the views of the South China Morning Post on the issues of the day.
Hong Kong Hong Kong taxis
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