Tuesday, April 16, 2024 | 14:03 WIB

Still integrated with social media, SMEs minister says TikTokShop breaks the rules

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Jakarta, IO – Cooperatives and SMEs Minister Teten Masduki said that TikTokShop e-commerce platform still violates regulations issued by the Trade Ministry with regard to business license and electronic transaction.

“We have carried out technical coordination between ministries, and we found that TikTokShop still violates Trade Ministerial Regulation 31/2023,” said Teten, per CNNIndonesia, Tue (20/2).

He said the violation in question is that TikTokShop is still integrated with its social media. “Social media and e-commerce should be separate. TikTok has invested in Tokopedia, but there are still violations,” explained Teten.

Meanwhile, the Business Competition Supervisory Commission (KPPU) chairman M. Fanshurullah Asa said his agency will investigate the matter.

Read: Indonesian Traditional Snacks Serabi Named The Most Delicious Pancake In The World

He emphasized that investment, partnership commitment, as well as MSME protection must be maintained. “We have to be consistent [with the rule]. A social media platform cannot double as e-commerce,” stressed Fanshurullah.

Earlier, the Indonesia government banned TikTokShop after protests by SME actors over unfair competition. (un)

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