TikTok, the Chinese short-form video hosting service owned by ByteDance, pulled the plug on its e-commerce platform in Indonesia. This comes after the Indonesian government blocked the TikTok Shop in the country.
As per The New York Times, TikTok closed down its online shopping service in the country on Wednesday this week. This was done soon after the TikTok Shop was banned on social media platforms. The company said it took this step to protect local business owners.
What is TikTok Shop?
The TikTok Shop is a marketplace where creators and businesses with a TikTok account can sell their goods on the platform. Users may add the “Shop” button on their videos and streams so people can see and buy items without leaving the app.
The marketplace was added as TikTok is looking for other ways to generate more revenues from the platform. Indonesia was one of the first few regions where TikTok Shop was launched. ByteDance sees major potential there due to its massive population and being the app’s second-largest user base.
The Ban Order From the Authorities
Unfortunately, the country has now become the first to issue a ban on TikTok’s e-commerce platform. It was clarified that the app itself is not restricted, so people can still post and view video clips. However, buying and selling goods are no longer allowed on TikTok and other social media platforms with e-commerce features.
“Our priority is to remain compliant with local laws and regulations,” TikTok said. “As such, we will no longer facilitate e-commerce transactions in TikTok Shop Indonesia by 17:00 GMT+7, October 4, and will continue to cooperate with the relevant authorities on the path forward.”
The decision to block the online shopping services comes after the nation’s President, Joko Widodo, called for new rules for social media. According to CNBC, he explained that the appearance of these online marketplaces contributed to the decline of sales for local businesses.
Photo by: Solen Feyissa/Unsplash


Henkel in Advanced Talks to Acquire Olaplex at $2 Per Share
SK Hynix Eyes Up to $14 Billion U.S. IPO to Fund AI Chip Expansion
Oil Prices Rebound as Iran Denies U.S. Talks Amid Gulf War Supply Fears
Malaysia Semiconductor Industry Eyes Helium Supply Risks Amid Middle East Conflict
Australia-EU Free Trade Deal Signed After Years of Negotiations
Citi Names Eric Farina and Rob Cascarino to Lead Global Infrastructure Financing Group
Rio Tinto's Resolution Copper Mine: U.S. Smelting Challenges and Global Operations Update
Nintendo Switch 2 Production Cut as Holiday Sales Miss Targets
Middle East War Rattles Global Markets as Oil Tops $100 and Dollar Surges
Gold Prices Surge on U.S.-Iran Ceasefire Reports
Finnair Orders 18 Embraer E195-E2 Jets in Landmark Fleet Overhaul
Bank of Japan Eyes April Rate Hike Despite Inflation Dip, ING Says
SpaceX IPO Filing Expected This Week as Valuation Could Surpass $75 Billion
xAI Faces Federal Lawsuit Over Grok AI-Generated Child Sexual Abuse Material
Currency Markets Show Caution Amid U.S.-Iran Negotiations
U.S. Appeals Court Strikes Down FTC Order Against TurboTax "Free" Advertising
Judge Dismisses Sam Altman Sexual Abuse Lawsuit, But Sister Can Refile 



