Indonesia greenlights TikTok’s collaboration with GoTo
Indonesian Trade Minister Zulkifli Hasan has given the green light for collaboration between ByteDance Ltd, the Chinese parent company of video-sharing app TikTok, and Indonesia's PT Gojek Tokopedia Tbk (GoTo) to establish an e-commerce platform.
A trader conducts live sales via streaming at a store in the Tanah Abang textile market in Jakarta, Indonesia, (Photo: https: jakartaglobe.id)
Jakarta (VNA) – Indonesian Trade Minister Zulkifli Hasan has given thegreen light for collaboration between ByteDance Ltd, the Chinese parentcompany of video-sharing app TikTok, and Indonesia's PT Gojek Tokopedia Tbk(GoTo) to establish an e-commerce platform.
Speaking after the launch of the National White Paper onDigital Economic Development Strategy in Jakarta on December 6, Zulkifli affirmedthat the collaborationis permitted, excluding ventures that are entirely new.
Thisrepresents a shift in the government's stance, which had previously imposed aban on TikTok Shop, TikTok's e-commerce arm, due♋ to concerns about predatorypricing negatively impacting local micro, small, and medium enterprises(MSMEs).
The minister emphasised that collaboration is acceptable as longas it adheres to existing regulations, specifically Minister of TradeRegulation 31/2023 on Licensing, Advertising, Development, and Supervision ofCommerce Companies Utilizing Electronic Systems. Indonesia has imposed a ban on social media companies venturinginto e-commerce or social commerce. TikTok Shop faced restrictions as thegovernment aims to maintain the balance between online trading and traditionaloffline market activities to safeguard local businesses. The minister clarified that collaboration with foreignindustries is permissible. The government remains committed to supporting theempowerment of MSMEs and local e-commerce entities, with a focus on enhancingconsumer protection./.
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A trader conducts live sales via streaming at a store in the Tanah Abang textile market in Jakarta, Indonesia, (Photo: https: jakartaglobe.id) 
