Commenting on the probe into Didi Chuxing on national security grounds, two days after the ride-hailing giant made its initial public offering in New York, SMU Associate Professor of Law Henry Gao said the nature of the probe makes it far more serious. In a worst-case scenario, Didi could be ordered to suspend its operations for a rectification, and then as a result, loses its market dominance, he added. It is also worth watching whether China’s other government agencies, including the antitrust watchdog, transportation authority, banking regulator and labour watchdogs step in. If this happens, “they could be investigating all kinds of activity and then all hell breaks loose,” Assoc Prof Gao said.
Last updated on 06 Jul 2021 .