Uber announced in a statement this week that “based on an evaluation of the marketplace in Hong Kong,” fares would be revised. Users in the city will now also have to pay a HK$5 ($0.64) booking fee on all rides, which will help cover administration cost.
The minimum fares on Uber X, Uber Assist, and Uber Black have all been raised. For the Uber X, the company’s most used service, minimum fares will be raised to HK$40, which is significantly higher than Hong Kong taxis, which charge a minimum fare of HK$24.
Uber did assure its customers that it wasn’t going to be leaving Hong Kong any time soon. “We are committed to continue our investment here in Hong Kong, to ensure a seamless Uber experience for both riders and driver-partners, and to provide a safe and reliable choice of transportation for Hong Kongers,” the company said in a statement.
The change in pricing comes amid an ongoing battle between the local taxi association and Uber. The Hong Kong government is still yet to give Uber legal status and the taxi associations have put pressure on local government to crack down on the ride-hailing service.
Uber is also struggling with internal conflicts right now, as its largest shareholder has sued founder Travis Kalanick, attempting to remove the recently-ousted CEO from two of three board seats he controls. The investor, venture capital firm Benchmark, reportedly sees Kalanick as the toxic element behind the company’s recent problems.