Commission VI DPR Regarding Tiktok Shop: If They Violate, the Permit will be Revoked According to Minister of Trade Regulation

DPR RI Building. (Irfan Meidianto / VOI)

JAKARTA - The House of Representatives (DPR) admitted that it was surprised that the Tiktok Shop was still operating via the Tiktok social media application. Member of Commission VI of the DPR, Amin AK, said, Tiktok seems to insist on forcing its eCommerce features on social media platforms, even though it openly violates Minister of Trade Regulation Number 31 of 2023 concerning Business Licensing, Advertising, Development and Supervision of Business Actors in Trade Via Electronic Systems.

In Minister of Trade Regulation 31/2023, it is clearly regulated regarding the separation of social commerce and e-commerce. Amin said that Tiktok, which already has Tokopedia as an e-commerce business unit, should comply by choosing to sell on that platform, not forcing Tiktok Shop operations into their social media application.

"This is strange because they have just acquired 75 percent of Tokopedia's shares. Why don't they use the Tokopedia e-commerce platform for sales activities," Amin told reporters, Tuesday, January 16.

"We were surprised by what TikTok management did in Indonesia," he continued.

Amin, who is also a member of the DPR from the PKS faction, asked for commitment, consistency and firmness from the Ministry of Trade regarding sanctions against Tiktok and other platforms if they violate Minister of Trade Regulation 31/2023. Since it was promulgated in September last year, the government at that time openly stated that there would be sanctions if platforms or technology companies violated the Minister of Trade Regulation.

Starting from written warnings, being blacklisted, sanctions for temporarily blocking PPMSE services (organizing trade through electronic systems) domestically or abroad, to revoking business permits.

"The government must consistently enforce the rules. It must be ensured that existing signs are not violated. If they are violated, strict sanctions must be imposed, for example by revoking the trading permit. As long as the rules are implemented, dominant market control or monopoly will be difficult to achieve," said Amin. is a graduate of the State College of Accountancy (STAN).

Amin said that this sanction has nothing to do with Tokopedia, even though currently Tiktok has been acquired by Tiktok and controls 75 percent of the shares. He wants warnings to be given proportionally. Moreover, the Minister of Cooperatives-UKM, Teten Masduki, has warned about this violation.

“Even though Tiktok controls Tokopedia shares. "This means that if TikTok insists on breaking the rules then sanctions will be imposed on TikTok," said Amin.

Previously it was known that the Minister of Cooperatives and SMEs (Menkop UKM) Teten Masduki said that TikTok Shop was still violating regulations after returning to operation. The TikTok application violated Minister of Trade Regulation 31/2023 after operating on National Online Shopping Day (Harbolnas) 12.12 last year.

The platform from China still carries out transactions on their social media and combines eCommerce features in one application.

"We see that there has been no change. So this is an indication of a violation of Minister of Trade Regulation 31," said Teten, last December.