Authorities in Shanghai have issued fines to Didi Chuxing and Meituan Dianping after the two ride-hailing platforms failed inspections for the second time this year.

In a statement Tuesday, the Shanghai Municipal Transportation Commission said it had ordered Didi and Meituan to pay 200,000 yuan and 30,000 yuan ($28,500 and $4,300), respectively, for not passing recent inspections. Both companies risk having their services suspended if they flunk future checks, according to the statement.

The commission had previously fined Didi 5.5 million yuan and Meituan 1.47 million yuan for failing similar inspections last month. Despite this, Tuesday’s statement indicated that both platforms still had a large number of violations.

Though the authorities did not outline the specific reasons the platforms had failed the two rounds of inspections, all cars used for ride-hailing in Shanghai must be registered as commercial vehicles and have local license plates, while their drivers must have permanent residency in Shanghai or household registration documents for the city. (Image: VCG)