The Ministry of Transport has issued official guidelines for mobile car-hailing services in Beijing and Shanghai.

The mobile car hailing platforms will be subject to ministry supervision and are required to renew their business licenses every four years. The car-hailing companies must also provide insurance for drivers according to local laws. Only drivers with household registrations in Beijing or Shanghai will be allowed to work in those cities.

In addition, cars without license plates issued by the Beijing or Shanghai traffic regulation bureaus won't be permitted to provide services. Let's hear what traffic officials have to say.

"The guideline aims to ensure safety and better mobile car-hailing services for customers. We also hope that through the legalization of mobile car-hailing services, taxi companies will feel the urge to provide better services to customers for the reason that we really receive too many complaints from taxi users," said Ma Rui, vice director of Beijing Transport Bureau.