07:40 AM EDT, 07/09/2024 (MT Newswires) -- Uber Technologies ( UBER ) may face uncertainty over its operations as Hong Kong unveiled plans to regulate ride-hailing services, Bloomberg reported Tuesday, citing a paper published by the city's Transport and Logistics Bureau on Monday.

According to the paper, authorities plan to license ride-hailing platforms and enforce tougher penalties for rule-breaking. They also plan to improve taxi services through so-called premium fleets, Bloomberg reported.

Meanwhile, an Uber ( UBER ) spokesperson told Bloomberg that the company welcomes the plan to regulate ride-hailing services, adding that it is critical for the government to also come up with a workable licensing regime.

The Transport Department is expected to conduct a study on commuter needs in connection with the planned regulatory regime, the report said, citing the paper. The study is expected to be completed within 12 months, according to the report.

Uber ( UBER ) has not immediately responded to MT Newswires' request for comment.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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