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Malaysia Takes Action Against Unlawful e-Hailing Apps: InDrive and Maxim
It's the heat of May, Johor Baru, and Malaysian Transport Minister Anthony Loke makes a bold move.
"Warning bells ring for InDrive and Maxim e-hailing apps," Loke told reporters, announcing that both apps must cease operations in the country by July 24, 2025.
Why the abrupt stop, you ask?
"These companies have been skirting the rules, flouting regulations," Loke explained.
Since September 2022, InDrive's Malaysian office has been operating without a valid license after a raid by the Road Transport Department. Despite a three-month ultimatum to return its Intermediation Business Licence (IBL), the company has persisted, seeking clarification and appealing the decision.
Maxim, on the other hand, faces a similar predicament. Its license was revoked earlier in 2023, as the company failed to abide by local e-hailing regulations. Both companies are now faced with the same deadline.
The Land Public Transport Agency (APAD) tackled these violations under the Land Public Transport Act 2010 (Act 715), specifically highlighting the requirement for E-Hailing Vehicle Permits (EVP) and compliance with the licensing conditions.
Despite the uncertain future ahead, InDrive maintains its services in Malaysia. Users and drivers are kept in the loop to manage the transition, according to the e-hailing company.
This dramatic move marks a significant step forward in Malaysia's crackdown on foreign e-hailing providers. The strict enforcement of local laws underscores the government's commitment to regulating ride-hailing services within the country's jurisdiction.
InDrive and Maxim, brace yourselves: the countdown starts now.
[1] APAD orders InDrive and Maxim to cease operations by July 24, 2025, due to non-compliance with Malaysian e-hailing regulations.[2] InDrive and Maxim have faced regulatory actions since September 2022 and earlier in 2023, respectively.[3] Both companies may appeal the decision, but the final ruling rests with the regulatory authority.[4] InDrive pledged to keep users informed and maintain reliable services during the regulatory process.[5] As of May 2025, InDrive continues its services while engaging authorities and considering possible appeals to maintain its presence in Malaysia.
[6] Malaysian Transport Minister Anthony Loke takes a firm stance against unlawful e-hailing apps, announcing the cessation of InDrive and Maxim's operations by July 24, 2025.
[7] The Land Public Transport Agency (APAD) initiated this action following violations of the Land Public Transport Act 2010 (Act 715) and the failure to obtain E-Hailing Vehicle Permits (EVP), thereby underscoring the government's commitment to upholding regulations in the realm of ride-hailing services.
