Recently,The Indonesian Ministry of Trade has issued a statement prohibiting e-commerce transactions on social media platformsOnly allowedfromBusinesses advertise through social media platforms and cannot engage in e-commerce transactions,This measure is aimed at protectingIndonesiaOffline merchants and markets.

IndonesiabeforeThe trade control regulations do notlimitTransactions conducted directly on social media platforms. However, in social media platformsofThe phenomenon of "predatory pricing", which excessively lowers product prices to eliminate competition, poses a threat to micro and small enterprises operating in the real world, prompting government officials to call for the cutting of social media and e-commerce.

Think tanks and consulting firmsMustafa, Senior Analyst for International Affairs at Solaris Strategies, stated that although the Indonesian government's move was abrupt, it was necessary considering that an election would be held in less than six months. The current government hopes to protect small and medium-sized enterprises, increase political scores and credibility, in order to be in a favorable position before the elections in early 2024.

Mustafa believes that restrictive measurestakeIt will be brief, over time, Indonesia will acceptstaySocial media platformTransactions for.

nearIn recent years, Indonesia's import conditions have become increasingly stringent, and the tax exemption threshold has increased fromThe price of $100 has dropped again and again, and in July this year, import rules were newly issued to restrict the online sale of imported goods priced below $100, while also requiring imported goods to have a license certificate.

Deputy Minister of Trade of Indonesia, Jerry·Sanbuaga clearly stated that social media and social commerce cannot be combined.Some sellers who mainly focus on the Indonesian market were not averse to the constantly increasing threshold before. They switched to local stores due to policy influence, and later onofThe increase in import taxes has actually made Indonesia a place that most people cannot enterThe 'Peach Blossom Land' has left enough market for sellers who are focused on operating local Indonesian stores.

If the previous new regulations only forced cross-border people to switch markets or end cross-border store operations and switch to local stores, and if the new plan can be implemented now, it may really have moved too many peopleCheese.

Consulting firmsAccording to Momentum Works data, Indonesia's e-commerce transaction volume last year was 52 billion US dollars,among5% occurs on TikTokIf this regulationReally implemented, yesTikTok's e-commerce business will have a significant impact. In response, TikTok expressed that dividing social media and e-commerce into different platforms would hinder innovation and hoped that the government would provide a fair competitive environment.

It is reported that Indonesia isTikTok's second largest market, where users can trade directly on TikTok. Indonesian Investment Minister Bahrir previously stated that TikTok should mainly be applied to social media operations, rather than conducting transactions. He stated that if TikTok does not comply with the regulations, it will be prohibited from operating in Indonesia.

The TikTok Indonesian spokesperson said in a statement, "We respect local laws and regulations, and we also hope that the regulations take into account the livelihoods of over 6 million sellers and nearly 7 million associated creators on the TikTok ShopUnder pressure in the United StatesTikTok, I didn't expect to face "back stabbing" in Southeast Asia as well. Of course, not only TikTok, but also others with product trading functionsSocial media platformIt will also be affected.