Jakarta. The video-sharing app TikTok persists in breaching Indonesian government regulations that prohibit social media companies from facilitating online trading on their platforms, a senior official said on Thursday.

Ironically, the specific regulation was implemented in response to growing complaints about TikTok's live shopping service, which often offers cheap imported consumer products that could potentially harm micro, small, and medium-sized enterprises (MSMEs).

The Trade Ministry has issued a regulation mandating a clear separation between social media and e-commerce platforms.

However, Cooperative and MSME Minister Teten Masduki said that TikTok continues to operate its live shopping service in defiance of the regulation.

"Since the regulation was issued, TikTok has failed to demonstrate compliance, as it continues to facilitate online sales without regard for the company’s business permit here. This should not be allowed to continue," Teten said.

While other social media platforms such as Instagram and Facebook offer trade promotions, they do not have a checkout feature for completing transactions, unlike TikTok.

Teten added that TikTok could face sanctions, including the revocation of its license in Indonesia.

Earlier this month, House of Representatives member Amin AK accused TikTok of "manipulating the system" and "exploiting the government’s indecisiveness in enforcing the regulation" by refusing to take down the TikTok Shop service.

TikTok is currently collaborating with local e-commerce giant Tokopedia, and the regulation allows a three-month window for the transition to the new joint venture.

"During the transition period, TikTok Shop should have been discontinued, but the business continues as if they knew the Trade Ministry isn’t ready to deliver sanctions," Amin said.

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