Tiny cars should not be in any city. Large trucks make sense for various delivery and construction activities. If you can do it with a small car you can do it with a cart (possibly moved by bike, or pushed onto public transit). I guess I'll make an exception for the disabled as well, but most people wouldn't describe their devices as cars.
Did you watch the video? The idea* seems the same as (electric) Kei-trucks or Tuk-tuks yet more limited on who can have it (like the thumbnail, also in the video "you live up a hill? Sorry, you can take a taxi"). With the restrictions in place, I'd imagine people bike to work and likely do use a(n e)bike for jobs/conditions that allow it. Also "but not the shops, also not the restaurants. We are really strict that, since 20 years we have around 520 vehicles"
*=Smaller footprint of vehicles, higher visibility, less weight to propel (+less momentum), less damage to infrastructure, more efficient usage for smaller (most common) trips etc
A taxi is not really better than any other private vehicle, other than being less affordable. That, in turn, means that poor people will be further disadvantaged.
For people with good enough mobility, we should facilitate walking, cycling, and public transit. That said, I understand some people have such poor mobility that they can't walk to a bus stop, so there will always be a need for taxis, but private vehicles need to be the last resort for human transport.
Thanks for mentioning disabled. I can do everything by foot, bike, or transit but my wife can't. We have even looked at electric bikes but she just can't really handle the posture for any amount of time. Heck even our vehicle is based on something that is not so low she has to fall into it but not so high she has to climb into it. It does drive me nuts though because I hate owning an auto.
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