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China to crack down on illegal taxis after strikes

From Reuters| February 17 , 2009 09:23 BJT

China is preparing a three-month crackdown on unlicensed taxis to address cab drivers' complaints about illegal competition, just as another taxi strike started in the country's northwest, state media said on Sunday.

China has been hit by a wave of taxi strikes in recent months as drivers have protested against unlicensed competition, high fuel prices and rising rental fees which have threatened their livelihoods as the economy comes under strain from the global financial crisis.

The Ministry of Public Security will launch its nationwide campaign against illegal cabs on Feb. 20, the official Xinhua news agency said.

It will focus on gangs, Xinhua said.

With unemployment on the rise, Beijing is worried about a rise in discontent and has taken steps to create jobs and prop up the livelihoods of groups such as farmers.

In the latest incident involving disgruntled cabbies, about 100 drivers went on strike in Tongren County in northwestern Qinghai province on Sunday, upset that the local government had not done more to combat illegal cabs, Xinhua said.

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