Passengers, cabbies welcome change to drop-off rules for cross-border taxis

Singapore

It was announced on Friday (Dec 5) that Singapore and Malaysia will allow door-to-door cross-border taxi trips under new rules.

Passengers from Singapore arrive at Larkin Sentral on Dec 5, 2025. (Photo: CNA/Zamzahuri Abas)

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05 Dec 2025 07:18PM (Updated: 05 Dec 2025 07:59PM)

Passengers and cabbies in Singapore and Malaysia welcomed the move to change the drop-off rules for cross-border taxis, but raised questions about the pricing of rides between the two countries in future.

Drivers said that allowing cross-border taxis to drop off passengers anywhere in Singapore or Malaysia – a change that was announced on Friday (Dec 5) – would enable them to serve a wider range of passengers.

Taxi driver Ahmad Rashid Ahmad, 60, said he had only just heard the news on Friday morning and had yet to receive further official details from his operator.

“If it is indeed true, I think it will be beneficial. For example, just now, there were many (Singaporean) passengers who wanted to go straight home instead of being dropped off at Ban San Street Terminal,” said the Johor-based cross-border driver.

“Because we can’t send them directly, they end up taking Singapore taxis instead.”

“I am thankful that we (will) finally be allowed to drop off passengers anywhere in Singapore,” Malaysian taxi driver Ropidah Md Yatim, 55, told CNA.

“Even if I still have to go back to Ban San Street Terminal to pick up passengers, it’s okay,” she added at Larkin Sentral.

At Ban San Street Terminal in Bugis, Malaysian drivers expressed similar views. Mr Aziz Salimon said it would be good for drivers and passengers if they were able to drop them off wherever they want.

“Hopefully we will be able to do so next year,” he said.

He added that he hoped the authorities would continue to control the prices of such rides. “It is good to control, so that people cannot charge (however they like).”

Ms Ropidah, however, hoped for more flexibility in fare structures, noting that the current one-way fare remains fixed at RM120 (US$29) regardless of traffic conditions.

“Right now, even if there is a jam and we are stuck for two to three hours, we are still only earning RM120,” she said.

Licensed cross-border taxi drivers can pick up and drop off passengers at Ban San Street Terminal in Singapore. (Photo: CNA/Erin Liam)

Singapore and Malaysia will allow door-to-door cross-border taxi trips under new rules that will permit licensed foreign taxis to drop off passengers anywhere in the other country.

The change, announced on Friday in a joint statement by the transport ministries of both countries, is part of a package of enhancements that also includes increasing the quota for licensed cross-border taxis from 200 to 500.

The ministries did not specify when the changes would take effect.

Singapore’s Acting Transport Minister Jeffrey Siow met Malaysian Transport Minister Anthony Loke on Thursday as part of the 12th Singapore-Malaysia Leaders’ Retreat.

Currently, cross-border taxis are allowed to drop off passengers only at designated points – Larkin Sentral in Johor Bahru for Singapore taxis and Ban San Street Terminal in Singapore for Malaysian taxis.

Under the new rules, foreign taxis will be able to drop off passengers anywhere outside their home country. 

However, they can only pick up passengers at designated pick-up points to prevent them from providing local point-to-point services, said the ministries.

Cross-border taxi driver Ropidah Md Yatim, 55, speaks to CNA at Larkin Sentral in Johor Bahru on Dec 5, 2025. (Photo: CNA/Zamzahuri Abas)

Mr Ban Kum Cheong, a Singaporean taxi driver, said passengers do want to go further than Larkin Sentral, and Singapore drivers would be able to serve their needs, but fares would need to be revised.

Enforcement would also be needed to ensure drivers from either country pick up passengers only from designated locations, he added.

The 54-year-old said that the authorities should think about how to maintain the harmony between drivers from Singapore and Malaysia “because we can do each other’s job already” and may be fighting for the same pool of customers.

PASSENGERS CONCERNED ABOUT PRICES, SAFETY

Passengers also had questions about how prices may change along with the rules, but told CNA they preferred the licensed services for safety reasons.

“I would need to see how much they charge,” said one passenger, who asked to be known as Ms Liaw. She was waiting for a taxi at Ban San Street Terminal.

“If it’s too expensive, it’s not worth it, and I would rather have my family pick me up.”

A one-way trip to Larkin Sentral costs S$60 (US$46) per car or S$15 per passenger.

Ms Choo Siao Way, a Malaysian who comes to Singapore to visit her children, said she chooses to use the licensed cross-border taxi service because she often has luggage.

“I’ve never thought of using the illegal services – the prices are higher, and I don’t know if I can trust the drivers,” said the 48-year-old.

When the changes come into effect, she expects that it will be more convenient, since drivers will be able to drop her off anywhere in Malaysia and not just at Larkin Sentral.

Singapore passengers at Larkin were also worried that flexible drop-off rules might eventually mean higher prices.

“It will be very convenient for us because if we are dropped off at Ban San, we still need to take another form of transportation to go home,” said 42-year-old Khairil Anuar Khairudin, who stays at Choa Chu Kang in Singapore.

“With the flexible door-to-door drop-offs, it’s easier for us who usually carry a lot of items (from Malaysia).”

Khairil Anuar Khairudin, 42, with luggage, booked a taxi at Larkin Sentral to cross the Causeway on Dec 5, 2025. (Photo: CNA/Zamzahuri Abas)

“I am happy with the news, but also wondering if the price will remain the same for sending us home directly,” said another passenger, Farzilah Hashim, who regularly uses cross-border taxis.

“If the fare stays (at RM120), then no problem. If it means higher prices, that could be an issue (for me).”

Khairil, however, said that he is willing to pay the additional cost if it means using a legal service protected by insurance.

INCREASED COMPETITION?

The authorities also announced on Friday that the quota for licensed cross-border taxis will be increased to 500 per country.

Some Malaysian drivers were concerned that this would make the scene more competitive.

They said business had improved after the Land Transport Authority (LTA) clamped down on illegal cross-border services, but an increase in the quotas could reverse those effects.

After picking up a passenger in JB and travelling over to Singapore, Mr Aziz said he waits around six to eight hours for a passenger going to Johor Bahru.

He said he once waited 26 hours for a passenger, especially when illegal cross-border services were running. But he said it was still worth it because the Singapore dollar is stronger.

“It’s a waste of petrol, and sometimes we get caught in a jam,” said another driver who gave his name as Mr Zakaria. “We cannot go back empty.”

He said the situation would be bad if too many drivers started providing cross-border services as well.

Cross-border taxi drivers wait for passengers at Larkin Sentral on Dec 5, 2025. (Photo: CNA/Zamzahuri Abas)

Mr Ban said he has heard of passengers complaining that there are not enough available taxis, but questioned whether the new quota is too high.

“There’s a need to increase, but up to 500 … I don’t think that the current system, the Causeway, is really able to handle 500 taxis,” he said, although he added that it will be good for passengers and “we might get a fair bit of sales”.

He said he hoped that taxi drivers would be able to use a special lane to reduce the time it takes to go into Malaysia, and that this would benefit passengers and drivers.

Singapore’s National Taxi Association (NTA) said it was encouraged that the governments will be working together to review the cross-border taxi service framework, noting that it has “actively engaged” with the Ministry of Transport.

“The planned expansion of pick-up and drop-off points will bring greater convenience for passengers and widen income opportunities for our drivers. 

“We also note the increase in licensed taxi quotas – especially for larger and premium vehicles – which will better support business travellers and larger groups,” the association said.

It said the enhancements, as well as the Johor-Singapore Special Economic Zone, will open up larger market opportunities for drivers.

“NTA will continue to work closely with MOT and the Land Transport Authority to ensure that principles of fair competition and a level playing field are upheld so that our drivers’ interests are protected as these changes are implemented,” it added.

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