The ride-hailing services in China are finally legalized as the country's transportation ministry issued two documents clarifying on the reform and regulation of the fast-growing business.

The documents highlight that both the driver and vehicle must meet the criteria listed out there in order to legally operate the business.

Certain rules in the new regulations include but are not limited to: drivers for ride-hailing apps can't have a criminal record, and must have at least three years of experience as a driver. Moreover, drivers also may not operate a vehicle with more than 600,000 kilometers, or about 370,000 miles, on the odometer.

With the new rules come into effect on November 1, the market shares of Uber Technologies Inc and Didi Chuxing are expected to see a rapid surge significantly.