JAKARTA: TikTok, a short-form video hosting service has been holding discussions with Indonesian e-commerce companies about possible partnerships, said an Indonesian minister said on Monday.
According to Teten Masduki, minister for small-medium enterprises (SMEs) TikTok has talked to five companies including GoTo’s e-commerce unit (GOTO.JK) Tokopedia, Bukalapak.com (BUKA.JK) and Blibli (BELI.JK).
The minister in an interview said some e-commerce companies in Indonesia have talked to TikTok.
Indonesia’s trade ministry imposed a ban on e-commerce last month, aiming to protect smaller brick-and-mortar merchants and ensure the protection of users’ data.
TikTok has 125 million users in Indonesia
It is pertinent to mention that TikTok has 125 million users in Indonesia.
TikTok and YouTube are thinking of joining Meta in applying for e-commerce licenses in Indonesia after Southeast Asia’s largest economy banned online shopping on social media platforms.
The app, owned by Chinese technology giant Bytedance, was also holding talks with local e-commerce players.
Teten Masduki one of the critics of TikTok Shop earlier said President Joko Widodo has asked him to formulate rules on e-commerce. He also plans to meet TikTok Chief Executive Shou Zi Chew later this month.
Teten also said he has suggested further regulations for the flow of imported goods into the country but did not give any further details.
TikTok Shop before its stopped functioning in Indonesia was delivering about 3 million parcels a day in the country.