Claims Not Selling Imported Goods, TikTok: If There Is It Out Of Our Control

JAKARTA - TikTok Indonesia has raised its voice regarding cheap imported goods that have flooded its platform.

TikTok Indonesia's Head of Brand Partnership Haswar Hafid said that actually TikTok does not sell imported goods directly from abroad.

Even if there are imported goods sold on the TikTok platform through the TikTok Shop service, Haswar continued, they are out of company control.

"We don't have control on importing goods either. TikTok doesn't sell goods from abroad, if for example there are MSME brands that take goods from abroad, that's beyond our control," he said at the Indonesia Knowledge Forum event, at Pacific Place, Jakarta, Wednesday, October 11.

Haswar said merchants or shops selling goods on TikTok Shop must include a Business Identification Number (NIB) to a production permit.

"And we also require all products that have to have BPOM in nature," he explained.

As previously reported, TikTok Indonesia has officially stopped buying and selling transactions on the TikTok Shop service since Wednesday, October 4 at 17.00 WIB.

This step is in response to the new rules issued by the Indonesian government, namely Permendag Number 31 of 2023.

Minister of Cooperatives and SMEs Teten Masduki revealed that Indonesia is not anti-TikTok Shop.

Teten said, the assumption that TikTok should no longer do business in Indonesia is a mistake.

Indonesia is not anti-TikTok Shop. Currently, there is an assumption that TikTok can no longer do business in Indonesia, this is not true. Indonesia is very open to foreign investment," said Teten, quoted from his official Instagram account @tetenmasduki_, Thursday, October 5.

The Indonesian government, explained Teten, does not prohibit TikTok Shop, it's just that the government wants this Chinese company to have a legal entity in Indonesia.

"And have a new permit according to Permendag Number 31 of 2023," wrote Teten.

Currently, continued Teten, TikTok only has a permit as a Representative Office for Foreign Trade Companies (KP3A). Because they only have this permit, TikTok cannot trade in Indonesia.

"The government must enforce the rules. All parties doing business in Indonesia must comply with Indonesian law," said Teten.