TikTok Shop Banned, Tanah Abang Traders Ready To Rise Again

Illustration. (Photo: Doc. Antara)

JAKARTA - One of the traders at Tanah Abang Market welcomes the government's move to finally issue a revision of the Regulation of the Minister of Trade to regulate social commerce or TikTok Shop selling. The reason is that in the regulation, TikTok is prohibited from competing, it can only carry out its function as social media. Prohibited from conducting trade transactions, it will only be arranged for promotion.

The presence of TikTok Shop is said to have recently made clothing traders in Tanah Abang experience a drastic turnover, and even there was a danger that the shop would close.

"I support it, the harsh language, so that in the normal market again, it's crowded again, that's also the state asset of Tanah Abang, if he still has TikTok online. Yes, the government's income from Tanah Abang doesn't exist, drop, people run away one by one, it's empty," said one Muslim fashion trader with the initials H, when confirmed, Tuesday, September 26.

H, who has been a trader in Tanah Abang for many years, is not anti-digital trading. However, when TikTok Shop entered, its sales were very eroded.

TikTok Shop said it had damaged prices in various unknown ways and it was impossible for Tanah Abang market traders to do it.

"If the TikTok shop is still closed in Tanah Abang, after the government's income doesn't exist, try to think about it, sorry for the others," said H, who enthusiastically welcomed the revision of the Permendag, was signed immediately.

"For example, one person who sells Rp. 45,000 online on TikTok to Rp. 40,000, that's a cheaper TikTok damaged. It's a lower price, so the original price is Rp. 50,000 on TikTok, but after he installed it on TikTok, it was cheap at Rp. 40,000, even though the seller never ordered the price from the online pair, maybe from the application, TikTok," he continued.

Previously at a limited meeting chaired by the President of the Republic of Indonesia Joko Widodo (Jokowi) at the Presidential Palace Complex, the government agreed through the revision of Permendag Number 50 of 2020 concerning Provisions for Business Licensing, Advertising, Development and Supervision of Business Actors in Electronic Systems. In the latest regulations, the government prohibits social media such as TikTok from selling. The plan is that today the revision of the Permendag will be signed and submitted to the Ministry of Law and Human Rights.