The two passengers confronted the 58-year-old cabbie about 9 p.m. CST Thursday, the Canadian Broadcasting Corp. reported. He managed to get the upper hand during a struggle for the machete and once he gained control of it, they fled, the CBC said.
A passing motorist called police, who tracked down a 29-year-old suspect a few blocks away, with the help of a police dog.
The man was charged with armed robbery, possession of a weapon and breach of probation.
The cabbie and the suspect were not identified.