TikTok Shop Will Restart In Indonesia
Jayson 20 Nov 2023 11:17
According to the news, TikTok will restart its e-commerce business by cooperating with Indonesian e-commerce platforms.
Temmy Satya Permana, the Ministry of Cooperatives and Small and Medium Enterprises confirmed the news that TikTok Shop will reopen in the country. He said TikTok Shop will later comply with all applicable regulations in Indonesia.
He went on to say that TikTok is unlikely to form a new business entity for TikTok Shop. According to the plan, Tiktok Shop will cooperate with one of the local e-commerce platforms. However, he declined to name TikTok Shop's potential e-commerce partners.
“I'm afraid to say yes (to potential TikTok Shop partners), basically we'll see what model is implemented and most importantly, whoever it is, has to comply,” Temmy explained.
He went on to say that when the new regulations came out, TikTok was actually going through a process so that TikTok Shop could adapt to existing regulations in Indonesia. However, that was difficult to achieve as the deadline given at the time was only one week.
Temmy further said that even if TikTok Shop merges with another e-commerce platform, it will be allowed by the government. He also admitted that the government is not worried that the merger of TikTok Shop and an e-commerce company will weaken other local e-commerce markets.
In addition, he said that with the return of TikTok Shop, competition among e-commerce companies will intensify, despite merging with other e-commerce platforms.
It is understood that Teten, Minister of Cooperatives and Small and Medium Enterprises, previously stated that TikTok has held talks with five e-commerce platforms in Indonesia to discuss partnerships to operate e-commerce businesses. Meanwhile, the three e-commerce platforms said to have been contacted are Tokopedia, Bukalapak, and Blibli.
Temmy Satya Permana, the Ministry of Cooperatives and Small and Medium Enterprises confirmed the news that TikTok Shop will reopen in the country. He said TikTok Shop will later comply with all applicable regulations in Indonesia.
He went on to say that TikTok is unlikely to form a new business entity for TikTok Shop. According to the plan, Tiktok Shop will cooperate with one of the local e-commerce platforms. However, he declined to name TikTok Shop's potential e-commerce partners.
“I'm afraid to say yes (to potential TikTok Shop partners), basically we'll see what model is implemented and most importantly, whoever it is, has to comply,” Temmy explained.
He went on to say that when the new regulations came out, TikTok was actually going through a process so that TikTok Shop could adapt to existing regulations in Indonesia. However, that was difficult to achieve as the deadline given at the time was only one week.
Temmy further said that even if TikTok Shop merges with another e-commerce platform, it will be allowed by the government. He also admitted that the government is not worried that the merger of TikTok Shop and an e-commerce company will weaken other local e-commerce markets.
In addition, he said that with the return of TikTok Shop, competition among e-commerce companies will intensify, despite merging with other e-commerce platforms.
It is understood that Teten, Minister of Cooperatives and Small and Medium Enterprises, previously stated that TikTok has held talks with five e-commerce platforms in Indonesia to discuss partnerships to operate e-commerce businesses. Meanwhile, the three e-commerce platforms said to have been contacted are Tokopedia, Bukalapak, and Blibli.
