Japan saw the launch of its first ride-sharing service in Tokyo on April 8, enabling everyday people to offer transport services using their personal vehicles during peak taxi demand periods. This new system, which differs from popular ride-sharing platforms in other countries, operates under the framework where drivers are directly employed by specific taxi companies and are given training in passenger transportation and operational management.
The ride-sharing service differs from the conventional taxi service in that it is a supplementary cashless offering, available only in specific areas and during designated timeframes when there is a noticeable need for additional taxis. The Tokyo Hire-Taxi Association hosted a formal ceremony on the launch day, which was attended by key figures like Transport Minister Tetsuo Saito, who even took a test ride to evaluate the safety and security of the service. Notably, the Ministry of Transport lifted the previous ban on ride-sharing for commercial purposes in certain regions with restricted time slots, with plans for multiple areas to start offering ride-share services by the end of April.
In contrast to how ride-sharing operates in the U.S., where individual drivers can register with dispatch apps and start operating independently, in Japan only taxi companies are permitted to enter the market. Consequently, ride-sharing drivers are required to have an employment relationship with a taxi firm, ensuring adherence to established safety and operational standards. Customers in Japan cannot flag down ride-sharing vehicles on the street but must use designated taxi dispatch apps during specified hours to request a ride, with fares displayed upfront and settled using cashless payment methods upon reaching the destination. The ministry has streamlined the process by determining the number of ride-share vehicles needed in various business districts based on data from taxi-dispatch apps and allocating them appropriately to prevent shortages during peak times, such as Saturday nights in Tokyo.