Uber is not easily giving up in China as it ventures to find potential growth opportunities outside first-tier cities, where Didi dominates.

According to China Daily, the US-based car-hailing app announced on Thursday that its service in Anhui province's Hefei soared by more than 30 percent daily after it was launched last month, marking the fastest growth the company has ever reported from nearly 400 cities across the world where it operates.

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Uber now accounts for the lion's share (over 50 percent) of the city's car-hailing service. It also introduced UberPool last year that permits drivers to pick up more than one paying passengers.

Many used to believe that only first-tier cities like Beijing and Shanghai have demand for ride hailing services. But Uber seems to have found  success in second- and third-tier cities, according to Wen Yilong, Uber's Hefei operations manager. Second-tier cities Hangzhou and Chengdu used to be among Uber's top performing cities across the world.

With China's "sharing economy" soaring, ride-hailing apps now have become an alternative public transportation for many commuters. Furthermore, smartphones and mobile Internet have closed the gap between big and small cities. "Apps used by people in large cities are also used by their peers in small cities," Wen said.

Uber plans to penetrate more cities, targeting to establish its presence in 100 Chinese cities within this year, including the northeastern and western regions. The company has accomplished half of its goal already as it is now operating in 50 cities.

Meanwhile, its direct competitor Didi Kuaidi is also expanding its global presence as it recently teamed up with US-based Lyft to offer cross-service platform. As a result of their collaboration, now Chinese Didi users who pay a visit to the United States do not need to download a separate app as they can still use Didi to book a ride across 200 US cities where Lyft is available.

TagsUber, Didi Kuaidi, ride-hailing app, commuters