Blog > Marketplace News > Confirm! Indonesia is Investigating Shopee for Alleged Monopolistic Practices
Confirm! Indonesia is Investigating Shopee for Alleged Monopolistic Practices
Jayson 21 Feb 2024 10:24
It is reported that the Indonesian Competition Commission (KPPU) spokesperson Deswin Nur told Tech in Asia that the commission is investigating allegations of monopolistic behavior by Shopee.
![](https://bigseller-1251220924.cos.accelerate.myqcloud.com/static/faq/2024/1708509410868605.jpg)
The incident comes after reports emerged that Shopee automatically directed users to affiliated couriers for delivery, specifically its in-house logistics service Shopee Xpress.
![](https://bigseller-1251220924.cos.accelerate.myqcloud.com/static/faq/2024/1708509670608848.png)
"This move prevents consumers from choosing express delivery services from other companies at the price they want," Nur explained. He added that this practice resulted in a "significant increase in shipping volumes" for these affiliated couriers, especially Shopee Xpress.
![](https://bigseller-1251220924.cos.accelerate.myqcloud.com/static/faq/2024/1708510316795285.jpeg)
The case is currently under investigation and awaiting trial.
If Shopee is found guilty of violating the rules, the spokesperson said the company would face a minimum fine of 1 billion rupees (about $64,000) and a maximum fine of 50% of net profits or 10% of total sales during the period of violation.
![](https://bigseller-1251220924.cos.accelerate.myqcloud.com/static/faq/2024/1708510728409336.jpg)
![](https://bigseller-1251220924.cos.accelerate.myqcloud.com/static/faq/2024/1708509410868605.jpg)
The incident comes after reports emerged that Shopee automatically directed users to affiliated couriers for delivery, specifically its in-house logistics service Shopee Xpress.
![](https://bigseller-1251220924.cos.accelerate.myqcloud.com/static/faq/2024/1708509670608848.png)
"This move prevents consumers from choosing express delivery services from other companies at the price they want," Nur explained. He added that this practice resulted in a "significant increase in shipping volumes" for these affiliated couriers, especially Shopee Xpress.
![](https://bigseller-1251220924.cos.accelerate.myqcloud.com/static/faq/2024/1708510316795285.jpeg)
The case is currently under investigation and awaiting trial.
If Shopee is found guilty of violating the rules, the spokesperson said the company would face a minimum fine of 1 billion rupees (about $64,000) and a maximum fine of 50% of net profits or 10% of total sales during the period of violation.
![](https://bigseller-1251220924.cos.accelerate.myqcloud.com/static/faq/2024/1708510728409336.jpg)