Minister of Trade Decree No. 1907 of 2026 concerning the Establishment of the Assessment Team for Foreign Electronic Trading System Operators establishes a team responsible for assessing whether foreign Electronic Trading System Operators (Penyelenggara Perdagangan Melalui Sistem Elektronik or PPMSE) meet certain criteria when they actively offer and/or conduct electronic trading activities with consumers in Indonesia. This assessment relates to the obligation of foreign PPMSE to appoint a representative domiciled within the territory of Indonesia. The Foreign PPMSE Assessment Team is tasked with compiling data on transactions, package deliveries, and domestic internet user traffic over a one-year period, analyzing such information, and submitting its assessment results to the Minister of Trade. These results serve as the basis for the Minister to issue a notification regarding the obligation to appoint a representative in Indonesia. The Decree also revises the composition of the team, requires coordination meetings to be held at least three times a year, and revokes Minister of Trade Decree No. 426 of 2024. This regulation strengthens the supervisory mechanism over foreign digital trade operators and promotes compliance with electronic trading regulations in Indonesia.
On 22 September 2026, the Minister of Trade issued Minister of Trade Decree No. 1907 of 2026 concerning the Establishment of the Assessment Team for Foreign Electronic Trading System Operators (“Minister of Trade Decree No. 1907/2026”). This Decree establishes the Assessment Team for Foreign Electronic Trading System Operators, hereinafter referred to as the Foreign PPMSE Assessment Team, and takes effect on the date of its issuance. Upon the entry into force of this Decree, Minister of Trade Decree No. 426 of 2024 concerning the establishment of a team with the same name is revoked and declared no longer valid.
This Decree was issued in response to the need to optimize the performance of the Foreign PPMSE Assessment Team. Accordingly, the team’s membership composition, which was previously stipulated under Minister of Trade Decree No. 426 of 2024, required adjustment. From a regulatory perspective, this Decree was issued to implement Article 22 paragraph (3) of Minister of Trade Regulation No. 19 of 2026 concerning the Organization of Trading Business Activities Through Electronic Systems. Article 22 of the Minister of Trade Regulation stipulates certain criteria for foreign PPMSE that trigger the obligation to appoint a representative in Indonesia, while paragraph (3) provides the basis for establishing a team to assess compliance with those criteria. In addition to Minister of Trade Regulation No. 19/2026, other legal bases considered in issuing this Decree include Law No. 7 of 2014 concerning Trade, Government Regulation No. 80 of 2019 concerning Trading Through Electronic Systems, and Government Regulation No. 29 of 2021 concerning the Implementation of the Trade Sector, as amended by Government Regulation No. 3 of 2026.
Dictum FIRST establishes the Foreign PPMSE Assessment Team, with its membership composition as set out in the Appendix, which forms an integral part of the Decree. Under Dictum SECOND, the team is established to assess whether foreign PPMSE meet certain criteria when they actively offer and/or conduct electronic trading activities with consumers domiciled within the jurisdiction of the Unitary State of the Republic of Indonesia. This assessment is linked to the fulfillment of the obligation to appoint a representative domiciled within the territory of Indonesia, who may act for and on behalf of the relevant foreign PPMSE.
Dictum THIRD sets out three duties of the Foreign PPMSE Assessment Team. First, to compile available data and information concerning the number of transactions with consumers, the number of packages delivered to consumers, and/or domestic internet user traffic or the number of domestic internet users accessing the activities of foreign PPMSE over a one-year period. Second, to synchronize and coordinate the data by processing and analyzing the results of such compilation. Third, to submit reports and assessment results to the Minister.
In carrying out these duties, the team is required to hold coordination meetings at least three times a year, as stipulated in Dictum FOURTH.
Under Dictum FIFTH, the assessment results of the Foreign PPMSE Assessment Team serve as the basis for the Minister to notify foreign PPMSE of their obligation to appoint a representative domiciled within the territory of Indonesia. Accordingly, the team is responsible for the assessment and reporting stages, while the notification to foreign PPMSE is issued by the Minister based on the assessment results.
Dictum SIXTH stipulates that the team must follow the technical guidelines established by the Director General of Domestic Trade.
Dictum SEVENTH provides that all costs incurred in implementing this Decree shall be charged to the Budget Implementation List (Daftar Isian Pelaksanaan Anggaran) of the Ministry of Trade and/or the respective ministries/agencies, in accordance with their respective authorities. Dictum EIGHTH revokes Minister of Trade Decree No. 426 of 2024, while Dictum NINTH stipulates that this Decree takes effect on the date of its issuance. Copies of this Decree are distributed to the Coordinating Minister for Economic Affairs, the Minister of Finance, the Minister of Communication and Digital Affairs, the Minister of Investment and Downstream Industry/Head of the Investment Coordinating Board (BKPM), the Minister of Transportation, the Minister of Tourism, the Minister of Industry, the Minister of Creative Economy/Head of the Creative Economy Agency, the Minister of Health, and the Head of the National Agency of Drug and Food Control.
