Guangzhou authorities are inviting Chinese bike-rental companies to bring new bicycles into the city, a positive turn for embattled companies following government bans that have lasted for months.

In an announcement released Monday by Guangzhou Transportation Bureau, the city government plans to release a quota totaling 400,000 bicycles to three local companies. Requirements dictate that at least half of the bikes be new, and space procured to store a specified amount of the company’s new bike inventory. The company with the best proposal will secure permission to add 180,000 bikes for a period of three years to end in June 30, 2022. The other two runners-up can introduce 120,000 and 100,000 units, respectively.

Guangzhou government did not unveil a budget in the bid invitation and has authorized a local consulting firm as an agent. A contact person from the company surnamed Zhao told TechNode on Monday that the companies who win the auction will not receive funding, as the bidding is about market access rather than a government contract.

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Jill Shen

Jill Shen is Shanghai-based technology reporter. She covers Chinese mobility, autonomous vehicles, and electric cars. Connect with her via e-mail: jill.shen@technode.com or Twitter: @yushan_shen