Ten Yuan No More? Beijing Taxi Fare May Rise Next Month

UPDATE, May 6, 2013: New reports are saying the taxi fare increase will occur sometime in the beginning of June. We'll keep you in the know about an exact date when we hear more.

Are the days of cheap cab rides in the past? Reports are circulating that the taxi starting fare may increase from RMB 10 to RMB 15 in April.

The price for each additional kilometer would increase from RMB 2 to RMB 2.4 under this new measure, while night fares would be more expensive if the total distance traveled exceeds 15 kilometers.

China's major media channels are speculating that the city will require this price hike to make it easier to hail a taxi at times of high traffic. People's Daily reports:

It has become increasingly difficult to get a taxi during rush hours in Beijing, as many taxi drivers prefer to suspend their business due to high operating costs, such as rising gas prices.

Raising the base fare is not a move that the authorities would be taking lightly. Thus far, they've limited price hikes to several experiments with raising the fuel surcharge (see here and here and here) over the last two years. Perhaps not coincidentally, the taxi shortage seemed to start around the same time.

There has been no official confirmation of the RMB 15 price hike, but we'll definitely be following this story. Check back later for updates.

Readers, what do you think of the proposed price hike? Would an increase to RMB 15 affect how often you decide to hail a taxi? Let us know in the comments section below.