Chinese horsepower Didi has suspended launch plans in the UK and on continental Europe, a source close to the company told the BBC.
Uber's rival plans to roll out services to Western Europe, including Britain's major cities.
Didi consults with the task team on redistributing new roles or potential reductions.
The move comes at a time when Chinese firms are under intense scrutiny by Western nations and Beijing is reducing data privacy.
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Didi did not comment directly on the report, which was first reported by The Daily Telegraph but said in a statement: "We are continuing to explore new markets, interact with relevant stakeholders and consider when to launch our operations."
"As soon as we get some new market news, we are looking at engagement," a spokesman for the department said.
Didi has been expanding his international business and has recently launched services in many new countries in South Africa, Ecuador and Kazakhstan.
Responding to questions about the future of his team in the UK, Didi said: "We have established a global talent base in the UK, we see a unique level of people in the market. Besides, any labor issues remain completely confidential."
Didi's decision comes at a time when Chinese companies are facing close attention from Western authorities.
Last year, Huawei's largest telephony was banned from the UK's 5G infrastructure and is undergoing a review of its security practices from Britain's National Cyber Security Center.
Huawei is also one of the Chinese companies that have been hit hard by the US.
Under Trump’s management companies including the most widely distributed video sharing app was targeted for alleged communications with the Chinese government.
While President Biden downplayed some of that statement Washington is still under pressure from Chinese companies.
At the same time Didi is under intense scrutiny in China as Beijing increasingly attacks data privacy.
Earlier this year, a local internet regulator ordered online stores to stop offering their services, claiming they were illegally collecting personal information.
The announcement came just two days after the company raised $ 4.4bn (£ 3.21bn) at its launch on the New York Stock Exchange. Didi's shares fell sharply in the news.
The Chinese government also introduced comprehensive measures to protect data privacy.
On Friday, the country's top legal committee, the Standing Committee of the National People's Congress, passed a comprehensive new privacy policy.
The Personal Information Protection Act aims to strictly regulate the collection of data by technology firms and will take effect from 1 November.