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20 May 2024


Indonesia bans TikTok shops



TikTok's e-commerce feature, TikTok Shop, has been criticized by traders in Indonesia.

That's with TikTok Shop having managed to gather 6 million sellers in Indonesia within a year of its launch in 2021.

They also managed to capture about 5 percent of Indonesia's $52 billion e-commerce last year.

According to Momentum Works, a Singaporean research company, Indonesia has banned TikTok Shop on October 5.

But until then, TikTok had aimed to increase sales on the Indonesian e-commerce platform by about 350 percent.

TikTok Shop has been banned, saying it wants to protect the country's 64 million micro, small and medium enterprises (MSMEs), including vendors in markets like Tanah Abang.

Also, Indonesian Trade Minister Zulkifli Hasan has accused TikTok Shop of facilitating predatory pricing practices and the flow of cheap imported goods, as well as not complying with the law.
(colombotimes.lk)




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