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Shopee to adjust services in Indonesia following antitrust law violation

Shopee to adjust services in Indonesia following antitrust law violation

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Indonesia's antitrust agency Komisi Pengawas Persaingan Usaha (KPPU) has said that PT Shopee International Indonesia (Shopee) and PT Nusantara Ekspres Kilat (Shopee Express) have admitted to violating anti-monopoly rules.

The admission will be included in the behaviour change integrity pack which will be signed by the two parties at the next hearing. 

KPPU said Shopee proposed adjustments to its current practices on June 20 which were approved by the commission council.

Don't miss: Indonesian antitrust agency probes Shopee, Lazada for suspected anti-competition breaches

A few days later on 25 June, Shopee agreed to make changes in its services in Indonesia. A 'Behaviour Change Integrity Pact' will be signed by the two reported parties at the next hearing. 

The next hearing is currently slated for 2 July 2024. MARKETING-INTERACTIVE has reached out to Shopee for more information. 

Radynal Nataprawira, Shopee Indonesia's head of public affairs reportedly said that Shopee is always committed to complying with all applicable regulations and laws in the Republic of Indonesia in conducting its business operations. 

Shopee reportedly said that it had proposed changes on its user interface to demonstrate compliance in providing best services to its users and in accordance with the feedback from KPPU too. 

Last month, KPPU launched an investigation into eCommerce platforms Shopee Indonesia and Lazada for violating anti-competition rules. It found that Shopee stopped listing several delivery services it had previously used.

According to KPPU in a statement, the eCommerce platform only left customers with two companies, namely J&T Express and Shopee Express, as options. 

This violation, according to KPPU, has had a direct competitive impact on consumers. It also deemed the prioritisation of Shopee Express, an affiliate company, as an exclusionary practice. 

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