Temu Takedown: Indonesia Pulls the Plug on E-Commerce Giant

Temu Takedown: Indonesia Pulls the Plug on E-Commerce Giant

Jakarta

Minister of Communication and Information (Minister of Communication and Information) Budi Arie Setiadi said the Ministry of Communications and Information blocked the Temu application because it was not registered as an electronic system provider (PSE) in Indonesia. This application went viral because it was considered to be detrimental to MSMEs.

“Wetake down The meeting was a quick response to community concerns, especially MSME players. Moreover, Temu is not registered as a PSE,” said Minister of Communication and Information Budi Arie Setiadi, based on his written statement, Wednesday, (9/10/2024).

The blocking was carried out to protect domestic MSME players from invasion by foreign products. Currently foreign products are threatening MSME products, both through online and offline sales.

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Previously, the Minister of Cooperatives and MSMEs, Teten Masduki, sent a letter regarding the protection of MSME products for the business models implemented marketplace abroad, namely Gathering. Because, marketplace These foreigners can sell foreign products directly from their factories to consumers, thereby threatening local MSMEs.

“Local MSME products need to receive government protection marketplace foreigners who sell foreign products directly from the factory so the prices are very cheap. “This is unhealthy competition and threatens the business continuity of local MSME players,” said Budi Arie.

Based on experience in a number of countries, applications from China are detrimental to local MSMEs and consumers. The quality of the products sold by Temu also does not meet quality standards, thereby causing harm to consumers or buyers.

In 2023, Google suspended PINDUODUO, the parent of the Temu application, because it was suspected of being compromised malware which can observe application user activity.

Therefore, Kominfo blocked the Temu application to protect the public and MSMEs.

“We blocked Temu, both on the AppStore and PlayStore, in order to protect the public, both consumers and MSMEs,” said Budi Arie.

(yld/dollar)

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