Social Commerce Banned By Government, Here's TikTok's Response

JAKARTA - TikTok Indonesia responded to the social commerce ban, in this case TikTok Shop for selling. According to TikTok, they get a lot of complaints about the regulation.

"Since it was announced today (Monday), we have received many complaints from local sellers asking for clarity on the new regulations," TikTok said in a statement received by journalists, on Tuesday, September 26.

TikTok Indonesia said that the social commerce that was prohibited by the government was actually born as a solution to problems faced by micro, small and medium enterprises (MSMEs) to help them collaborate with local creators to increase traffic to their online stores.

Even so, TikTok will continue to respect the laws and regulations in force in Indonesia. However, they asked the government to reconsider the impact of millions of local sellers and creators who already use the TikTok Shop.

"We will continue to respect the laws and regulations in force in Indonesia, but we also hope that the government will consider the impact on the livelihood of six million local sellers and nearly seven million affiliate creators who use TikTok Shop," he added.

As previously reported, at a limited meeting (Ratas) chaired by Indonesian President Joko Widodo (Jokowi) at the Presidential Palace Complex, Monday, September 25, 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 Trade Through Electronic Systems.

In the latest regulations, the government prohibits social media such as TikTok from selling.