Japan introduced its first ride-sharing service in Tokyo on April 8, allowing regular people to use their vehicles to ferry passengers during times of high demand for taxis. Unlike the popular foreign services such as Uber and Lyft, where drivers are independent contractors, in Japan, ride-sharing drivers are employed by taxi companies, who provide training in passenger transportation and job management. The new system is designed to operate as a supplemental cashless service in certain areas and during specific times when there is a need for additional taxis.
The Tokyo Hire-Taxi Association held a ceremony to inaugurate the ride-sharing service, with notable attendees including Transport minister Tetsuo Saito and other government officials. The system, initiated following the lift of the ban on ride-sharing for commercial purposes in specific areas, operates in locations like Tokyo’s wards, parts of Kanagawa Prefecture, Nagoya, Kyoto, and is expected to expand to other cities in the near future. Only taxi companies are permitted to participate in the ride-sharing market, and drivers are required to have an employment relationship with a taxi company, distinct from the individual registration system in the United States.
Passengers who wish to use the ride-sharing service summon a vehicle through a specialized taxi dispatch app like “Go” or “S.Ride” within the regulated time slots. The fare is displayed upfront, and customers can select the pick-up and drop-off locations within the designated area, paying using a cashless method at the end of the ride. Ride-sharing fares are similar to traditional taxi fares, with adjustments made for any changes in the route or stops during the journey. The government plans to discuss potentially allowing non-taxi companies to enter the ride-sharing market soon, offering customers additional choices for transportation in Japan.