China's ride-hailing crown jewel, DiDi Chuxing, launched new operations in different cities in Chile on Tuesday, rounding up the total number of operations in the country to 23. Industry experts said the move will help boost further interest in the sector.
According to Xinhua, the new areas of DiDi operations in Chile are as follows: Punta Arenas, Iquique, Osorno, Ovalle, Los Angeles, Curico, Calama, Copiapo, Arica, Chillan, Los Andes, and Coyhaique.
General manager of DiDi Chile, Simeng Wang, said the company is thankful of the support it has received so far from Chilean ride-hailing customers who have been receiving the business since it kicked off in the country.
The Chinese ride-hailing giant first launched in Chile in June. During the launch, around 16,000 registered drivers were signed up in Valparaiso, a popular resort town in the country.
Chile is one of the most recommended markets for various segments and industries with bases in Asia. The country is part of Latin America, where there is not much business with Asia-Pacific firms.
However, DiDi's entry into the Chilean market has helped boost interest in the country. It has also helped attract APAC companies to bet on the potential that Chile has been recorded over the past several years.
The quick transition of Chilean consumers into smartphone usage is also believed to be one of the main reasons why companies like DiDi have become interested in doing business in the region.
According to Entrepreneur, in the latest East of Doing Business Report, Chile ranked 56 among 190 economies. The country does pose some challenges for businesses but still, its geographical positioning has made it possible for opportunities to be opened to various industries.
Mobile use has helped welcome Chinese businesses into the Chilean market. Aside from DiDi, bike-sharing service Mobike also launched in the town of Santiago last year. The company has since blown up, with over 330,000 people using the platform.
Alibaba's AliExpress is also another popular app in the country. While e-commerce has yet to blow up in the Chilean market, the Chinese payments platform is already very popular among residents.
Meanwhile, the Chilean government announced on Monday that it is planning to launch an economic recovery plan that should help boost the economy following the cuts in official forecasts for the country's economic progress this year.
Riots played a key role in reducing business sentiment in the country. However, it is expected that the $5.5 billion recovery plan will help curb the impact of violence on investments that should be flowing into the Chilean market.
