Jakarta, Indonesianpost.com – An Indonesian minister has strongly warned TikTok for its persistent live shopping activities on the platform. The minister, Investment Minister Bahlil Lahadalia, has made it clear that TikTok’s license in Indonesia is meant for social media, not e-commerce. If TikTok continues with e-commerce, its license may be revoked.
Lahadalia’s message is straightforward: TikTok’s license is not for business transactions; it’s for social media. Violating this rule could lead to losing their license. He stated, “If they don’t follow this, I may have to revoke their license.”
Lahadalia also emphasized that there won’t be any negotiations with TikTok on this matter. TikTok is expected to adhere to national regulations without question. If they disagree, they are free to leave the country.
Furthermore, TikTok is not authorized for e-commerce activities in Indonesia. The government is working on regulations to prevent tax evasion in cross-border trade. Goods will need to be stored in warehouses until taxes are paid.
Under the guidance of the Trade Minister, new rules are being developed to prevent social media platforms from engaging in e-commerce. This strengthens fiscal controls.
In this critical clash between tech and national regulations, TikTok faces an important decision. Its choices will have consequences not only in the digital world but also in Indonesia’s broader socio-economic landscape. TikTok must comply with regulations as it navigates Indonesia’s regulatory environment.