China's Uber-like truck service raises $156mn

Truck Alliance Inc., a China-based Uber-like service also known as Huochebang, which connects truck drivers with cargo, has raised $156 million to fuel the online freight dispatcher in an increasingly competitive logistics sector. The funding round announced Tuesday is led by Baidu Capital. The funding propels the valuation of Guiyang Huochebang Technology Co. Ltd. to well over $1 billion. According to Caixin, Huochebang is being rewarded for shaking up a fragmented trucking industry composed mostly of independent contractors, which is still responsible for carrying more than 75% of the nation’s commercial cargo. The Guizhou-based internet dispatcher service, like its chief rival, Shanghai Xiwei Information Consultation Co. Ltd., which is known as Yunmanman, said it is helping China’s 5 million truck drivers save more than 60 billion yuan a year in fuel costs by identifying more-efficient routes and making sure drivers don’t run out of fuel en route.