Business

Colombia's Government orders Uber to suspend app services

The decision was released last Friday (20) and had immediate effectiveness

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  • Based on a local law that doesn’t allow individual public transportation, Colombia’s Industry and Commerce Superintendence (SIC) decided that Uber might suspend its services in the country;
  • The decision was released last Friday (20), but the ride-sharing company has appealed.

Answering a request from taxi drivers, Colombia’s Industry and Commerce Superintendence (SIC) decided last Friday (20) that Uber should suspend its services in the country. Besides the problems to make the ride-sharing legal in Colombia, since there is a local law that doesn’t allow the individual public transportation, Uber was also accused of promoting unfair competition. 

“Uber immediately appealed this ruling in order to protect its rights and also those of a whole community of more than two million people who widely use the application, regarding that it is contradictory to the flags of innovation and entrepreneurship that the government defends and promotes,” said the ride-sharing company in an official statement about the decision. 

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Uber entered the Colombian market in 2013 and keeps dealing with the resistance from taxi drivers in the country ever since. When it arrived in Brazil five years ago, Uber also faced similar problems. Over time, however, it gained specific regulations to operate in the country and consolidated in Brazil its second largest market in the world.