Uber still has serious roadblocks to overcome in Japan

After months of regulatory negotiation, Uber has finally hit the road in Japan, albeit with only 18 vehicles in one city, as part of a pilot programme in the country. Japanese law makes ride-sharing extremely difficult, as it states that private drivers are banned from transporting paying customers unless the vehicle being used has special license plates, or can only take place at all in regions where there is no public transport available. During the pilot phase, Uber must limit its services to “seriously depopulated areas and must submit daily reports of its operations” to regulators.

TOKYO -- Uber Technologies has launched its first service in Japan after clearing various regulatory hurdles, but the domestic taxi industry's stiff resistance remains a major challenge to the top U.S. ride-hailing company's ambitions.

The service is permitted only in part of the city of Kyotango in western Japan, and drivers and their cars must be registered with the central government.