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Indonesia Issues Implementing Regulation for E-commerce Sector: Key Features

In May 2020, Indonesia issued Regulation 50 of 2020, which is an implementing regulation for the country’s Law on E-commerce. The regulation provides legal guidelines for the establishment of e-commerce entities for domestic and international businesses. Foreign e-commerce organizers, such as online marketplaces, must establish a representative office in Indonesia if they completed more than 1,000 transactions with local consumers.

On May 19, 2020, Indonesia’s Ministry of Trade issued Regulation 50 of 2020 (Reg 50/2020), which sets out the legal guidelines for domestic and international businesses engaging in trade through electronic systems (e-commerce). Reg 50/2020 serves as an implementing regulation to Reg 80/2019, Indonesia’s first-ever law on e-commerce, which was issued in November 2019.

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