Bike-rental startup ofo has been ordered to be pulled out from east China’s Nantong city by local chengguan (城管; refers to “city management” departments) for cramming onto the sidewalks, only one day after they placed roughly 500 bikes on the streets, local media is reporting.

This is not the first time that bike-rental services have been put on hold at the local level. Similar cases have happened in cities of Zibo, Tai’an, Shaoxing, and Deyang over the past few months, as competition among bike-rental firms has been expanding from Tier 1 to Tier 2 and 3 cities.

Bike-rental firms recently found their bikes temporarily seized or their operations suspended by local authorities as they put their bikes into service without obtaining approval.

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Sheila Yu

Sheila Yu is a Shanghai-based technology writer. She brings readers the biggest news from Chinese language tech media. Reach her at sheila@technode.com.