Indonesia Requests Apple and Google to Remove Temu App
- The Indonesian communications minister announced on October 11, 2023, a request to Google and Apple to block the Temu app.
- This move is aimed at protecting small and medium enterprises from Temu's competition, which is perceived as unhealthy.
- The government’s actions reflect a broader strategy to defend local businesses as the e-commerce market expands rapidly.
On October 11, 2023, Indonesia's communications minister announced the country's request for Google and Apple to block the Temu app from their stores. This action is aimed at safeguarding small and medium enterprises from what the minister described as unhealthy competition introduced by Temu's business practices. With Indonesia's e-commerce market projected to surge to $160 billion by 2030, the government is taking proactive measures to protect local businesses amid potential foreign competition. Notably, Indonesia has not yet observed transactions from its citizens on the Temu platform, suggesting a cautious approach to its entry. The minister emphasized that the government focuses on protecting local entrepreneurs rather than the e-commerce sector at large, reiterating a commitment to support millions of small businesses. Furthermore, the government has expressed an intent to oppose any investment plans by Temu for entering the Indonesian market. This current situation echoes Indonesia's past actions when it mandated TikTok to cease its e-commerce operations, leading to TikTok acquiring a significant stake in local company GoTo to maintain its market presence. As a larger context, Indonesia applied to join the Trans-Pacific trade pact that excludes China, reflecting its strategic economic positioning.