Sellers beware! Indonesia to regulate predatory pricing in e-commerce markets

Sellers beware! Indonesia to regulate predatory pricing in e-commerce markets

Indonesia will issue a regulation to prevent predatory pricing by e-commerce platforms, including for Chinese products, as President Joko Widodo urges consumers in Southeast Asia’s largest market to avoid imported products, Reuters reported .


Some government officials also said at the Ministry of Trade meeting that we must love our own products (Indonesian local products).


Trade Minister Muhammad Lutfi told a news conference that the comments were in response to concerns that Chinese manufacturers were copying products designed by Indonesian small and medium-sized enterprises and selling them at low prices on foreign e-commerce platforms, as such behavior was a blow to local producers.


Lutfi also said artificial intelligence was identified as a top-selling product and that it was difficult to file a complaint with the World Trade Organization because of the use of digital platforms that masked the origin of the goods .


The Chinese Embassy in Jakarta did not immediately respond to a request for comment.


Indonesia will introduce a new measure this month to stop "predatory pricing practices" through online trading platforms , the country's trade minister said, adding that we will regulate e-commerce transactions.


Last year, Indonesia lowered the threshold for imposing import taxes on consumer goods sold through e-commerce in a bid to reduce overseas shipments, particularly imports from China.


China is Indonesia's largest trading partner and a major investor, but Jakarta complains about a persistently high trade deficit.


According to Indonesia's trade ministry, the average annual deficit in goods trade has been $14 billion over the past six years .


Indonesian Foreign Minister Retno Marsudi told Chinese State Councilor Wang Yi during a visit to Jakarta in January that China should remove trade barriers on products such as palm oil , fisheries and fruits to help address trade imbalances.


Predatory pricing is a means of unfair competition and is clearly defined in the competition law systems of various countries. Southeast Asian sellers should also pay attention to local laws and policies when selling products in the Indonesian market and be careful not to step on landmines.


policy

Cross-border e-commerce market

Southeast Asia

<<:  Shopee sellers take note! The Preferred Seller Program can help improve product search rankings

>>:  Talent hunting! Amazon's base salary for operations staff is 12K after the new year, are talented people going out to work on their own?

Recommend

What is Techbargains

TechBargains is one of the top ten discount websi...

What is Haisha Information? Haisha Information Review, Features

Haisha Information provides the highest quality gl...

What is JOYERP? JOYERP Review, Features

JOYERP is an intelligent cross-border e-commerce ...

Walmart adds 5,000 new Chinese sellers!

This year, many domestic sellers have been heartb...

Top selling pictures suspected to be stolen! Arrow pointed at Temu sellers

Temu has been developing rapidly in overseas mark...

What is Lorna Jane? Lorna Jane Review, Features

Lorna Jane is an Australian clothing brand founded...