Malaysia puts Grab on anti-competition watchlist after Uber stake buy

Grab, a fast growing Southeast Asian ridesharing, food delivery and financial services business, said Monday that Uber will take a 27.5 percent stake in it and a seat on its board as part of the deal. (AP)
Updated 02 April 2018

Malaysia puts Grab on anti-competition watchlist after Uber stake buy

KUALA LUMPUR: Malaysia said on Monday that it will monitor ride-hailing firm Grab for possible anti-competitive behavior, after rival Uber Technologies Inc. offloaded its Southeast Asian operations to the Singapore-based firm.
Uber’s deal to take a 27.5 percent stake in Grab in exchange has raised a red flag with Singapore’s competition watchdog, which said on Friday it was investigating a suspected breach of competition law.
Malaysia’s Competition Commission would keep tabs on Grab, especially if the company imposed unfair practices or sudden fare increases, a government minister said.
“We won’t take it lightly. We will monitor this because it is still early days and we don’t know what will happen next,” said Nancy Shukri, whose portfolio oversees the public transport licensing authority.
“We have stressed that if there is any anti-competitive behavior, the Competition Act will come into force. We have spelt this out to them,” Nancy said, referring to a meeting with Grab representatives last Monday.
Uber and Grab announced the deal last Monday, marking the US company’s second retreat from an Asian market. It earlier sold off it’s operations in China.
Nancy said Grab, which is valued at about $6 billion, had offered assurances during their meeting last Monday that there would be no unfair pricing, nor would it increase its fares for now.
The minister said the merger, however, did not change the government’s working relationship with Grab in converting over 67,000 conventional taxi drivers nationwide to e-hailing platforms.
Nearly 14,000 taxi drivers had now either partially or fully migrated to e-hailing platforms, and the government would continue working with Grab to convince more to do the same.
“This is in the interest of the taxi industry, which has been around for a long time. At the same time, Grab needs our support, and we are there to assist them as well,” Nancy said.


US President Trump does not want to do business with China’s Huawei

Updated 19 August 2019

US President Trump does not want to do business with China’s Huawei

  • US Commerce Department expected to extend a reprieve that permits Huawei to buy supplies from US companies to service its customers

WASHINGTON: US President Donald Trump on Sunday said he did not want the United States to do business with China’s Huawei even as the administration weighs whether to extend a grace period for the company.
Reuters and other media outlets reported on Friday that the US Commerce Department is expected to extend a reprieve given to Huawei Technologies Co. Ltd. that permits the Chinese firm to buy supplies from US companies so that it can service existing customers.
The “temporary general license” will be extended for Huawei for 90 days, Reuters reported, citing two sources familiar with the situation.
On Sunday, Trump told reporters before boarding Air Force One in New Jersey that he did not want to do business with Huawei for national security reasons.
He said there were small parts of Huawei’s business that could be exempted from a broader ban, but that it would be “very complicated.” He did not say whether his administration would extend the “temporary general license.”
Speaking earlier on Sunday, National Economic Council director Larry Kudlow said the Commerce department would extend the Huawei licensing process for three months as a gesture of “good faith” amid broader trade negotiations with China.
“We’re giving a break to our own companies for three months,” Kudlow said on NBC’s “Meet the Press.”