TikTok seeks Indonesian e-commerce partnerships with Tokopedia, Blibli, Bukalapak after social media platform ban
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TikTok has spoken with five companies including GoTo’s e-commerce unit Tokopedia, Bukalapak.com and Blibli, according to Teten Masduki, minister for small-medium enterprises (SMEs).
Indonesia’s trade ministry implemented the ban last month, aiming to protect smaller bricks-and-mortar merchants and ensure the protection of users’ data.
It was a particular blow to TikTok, which was forced to close its e-commerce service TikTok Shop. TikTok has 125 million users in Indonesia.
A TikTok Indonesia spokesperson was not available to comment.
Tokopedia declined to comment. A representative for Bukalapak said the company was unaware of such talks. Blibli did not immediately respond to a request for comment.
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The app, owned by Chinese technology giant ByteDance, was also pursuing talks with local e-commerce players, they added.
“I want them to commit to have a sustainable business that does not harm domestic SME products,” he said.
Teten also said he has proposed further regulations for the flow of imported goods into the country but did not provide details.
TikTok’s e-commerce push faces headwinds in Southeast Asia after Indonesia ban
TikTok’s e-commerce push faces headwinds in Southeast Asia after Indonesia ban
Until it stopped operations, TikTok Shop was delivering about 3 million parcels a day in Indonesia, sources have said.
Indonesia’s e-commerce market is expected to grow to around US$160 billion by 2030 from US$62 billion this year, according to a report on Southeast Asia’s internet economy by Google, Singapore state investor Temasek Holdings and consultancy Bain & Co.
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