Trade Minister Regulation No. 31 of 2023 on Business Licensing, Advertising, Coaching, and Supervision of Electronic Commerce (PMSE)
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Permendag 31/2023 governs Indonesian e-commerce licensing (PMSE — Penyelenggara Perdagangan Melalui Sistem Elektronik). The headline rules: cross-border e-commerce platforms must register as PMSE-LN (Foreign PMSE) and may not directly sell goods to Indonesian retail consumers below USD 100 minimum import value, ending the so-called 'Project S' route by which TikTok Shop and similar platforms serviced sub-$100 cross-border parcels. Domestic e-commerce platforms register as PMSE-DN. Negative-list product restrictions apply (textiles, footwear, cosmetics, electronics in some categories). Live-shopping and social-commerce platforms are now explicitly subject to PMSE rules. The regulation sits on top of UU 7/2014 (Trade Law) and UU 11/2020 (Cipta Kerja) and works alongside Kominfo's PSE registration regime under PP 71/2019. Foreign-owned PT PMAs operating online retail under KBLI 47914 (Online Retail) or marketplace platforms must register as PMSE within six months of commencing operations.
Pasal dan poin operasional yang paling sering dirujuk dalam praktik.
Cross-border platforms selling to Indonesian retail consumers must apply a USD 100 minimum import value. Sub-$100 cross-border parcels via marketplace are no longer permitted (the 'Project S' shutdown).
Specific product categories — including selected textiles, footwear, and cosmetics — cannot be sold cross-border to retail consumers via marketplace channels.
Live-shopping, in-app commerce, and social-platform commerce must comply with PMSE rules, eliminating the prior gap that benefited TikTok Shop.
Domestic and foreign platforms have distinct registration regimes; both register with the Ministry of Trade alongside Kominfo PSE registration under PP 71/2019.
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Peraturan Menteri Perdagangan Nomor 31 Tahun 2023 tentang Perizinan Berusaha, Periklanan, Pembinaan, dan Pengawasan Pelaku Usaha dalam Perdagangan Melalui Sistem Elektronik
tentang PMSE — Perdagangan Melalui Sistem Elektronik
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