Not Just The Temu Application, The Government Bans This Chinese Ecommerce From Entering Indonesia

Jakarta, CNBC Indonesia –Temu, an e-commerce application from China, is confirmed to not be able to operate in Indonesia even though they are rumored to be acquiring a local e-commerce in order to be able to do business domestically.

In addition to Temu, there is also another application from China that has been rejected from entering the domestic market. None other than Shein.

Shein is an e-commerce that sells clothes and cosmetics that has the same concept as Temu, namely direct-to-consumer producers.

According to the Minister of Communication and Information, Budi Arie Setiadi, applications such as Temu and Shein will disrupt the local MSME ecosystem.

“We still won’t let them operate, we have to protect our MSMEs. Because MSMEs have millions of workers,” said Budi when met at the Kominfo Office, Thursday (10/10/2024).

News of Temu acquiring Bukalapak

Recently, rumors have been circulating that Temu is about to acquire PT Bukalapak.com Tbk (BUKA).

Temu has tried to enter the Indonesian market several times, but was rejected by the government on the grounds that it threatens the sustainability of local MSMEs because Temu’s business is claimed to connect producers and end consumers directly, not connecting with retailers and affiliates.

This then sparked speculation that Temu has the potential to acquire Bukalapak in order to obtain permission from the government, following the same strategy as TikTok and Tokopedia.

Regarding this matter, citing the disclosure of information, Wednesday (9/10/2024), the company is not aware of any information regarding the company’s acquisition plan by e-commerce from Temu.

The company will disclose information in accordance with the provisions of applicable laws and regulations if the company receives information that has been verified as true regarding the acquisition plan.

Regarding this matter, citing the disclosure of information, Wednesday (9/10/2024), the company is not aware of any information regarding the company’s acquisition plan by e-commerce from Temu.

The company will disclose information in accordance with the provisions of applicable laws and regulations if the company receives information that has been verified as true regarding the acquisition plan.

SOURCE : CNBC INDONESIA