Persatuan Transformasi Pengangkutan Awam Darat (TPAD) has shared its concerns following the Ministry of Transport’s (MOT) recent directive for global e-hailing providers inDrive and Maxim to cease operations in Malaysia by 24 July 2025, as announced by YB Anthony Loke, Minister of Transport of Malaysia.
While TPAD acknowledges the government’s responsibility to regulate the sector for public safety and order, they believe that regulatory actions—especially those with significant socioeconomic impact—should be accompanied by clear public communication and careful, data-driven assessment.
According to TPAD, many drivers have turned to platforms like inDrive and Maxim due to their flexibility and more driver-friendly commission models. inDrive, in particular, operates on the lowest commission rate in the Malaysian market, allowing drivers to retain more of their earnings.
“For many, this has translated into more sustainable livelihoods, especially in smaller towns and rural areas,” said Nathan Mathivanan, President of Persatuan TPAD. “It raises important questions about how the current market structure will continue to support drivers if competition is reduced.”
TPAD further points out that passengers may also face consequences. With fewer operators, pricing competition could diminish, potentially leading to fare increases or reduced service quality.
“Other countries have adopted government-recommended price tariffs to ensure fairness and transparency for e-hailing users,” TPAD noted. “Malaysia currently does not have such a system. Without adequate competition or a fare guideline, how can we ensure affordability for the public?”
TPAD calls on the relevant authorities to consider the following actions:
- The Ministry of Transport and APAD to clearly explain the legal and regulatory rationale behind the cease orders.
- The Malaysian Competition Commission (MyCC) to examine whether these directives could result in anti-competitive market dynamics.
- Lawmakers and policy experts to initiate a holistic review of Malaysia’s e-hailing landscape—focusing on long-term impacts on affordability, access, and driver welfare.
This matter goes beyond licensing compliance. It touches on the everyday mobility needs of Malaysians, the economic well-being of thousands of drivers, and the importance of maintaining fair, open markets.
TPAD is committed to working collaboratively with all stakeholders—government agencies, industry players, and civil society—to ensure that e-hailing in Malaysia evolves in a way that is inclusive, sustainable, and responsive to the needs of both drivers and passengers.