The Tik Tok booth is seen at the Creative Industries Expo of South by Southwest Conference and Festivals in Austin, Texas, the United States, on March 12, 2023. (PHOTO / XINHUA)

JAKARTA — TikTok's e-commerce service is going to restart in Indonesia on Dec 12 with strategic cooperation with Indonesia's GoTo Group, GoTo said on Monday.

According to a statement by GoTo, its e-commerce unit and TikTok Shop business will be combined under the existing entity, PT Tokopedia, with TikTok taking a controlling stake of the enlarged entity.

The GoTo ecosystem consists of on-demand services, e-commerce, financial technology and logistics through the platforms

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For this merging cooperation, TikTok has also committed over $1.5 billion in the next few years to provide financial support for the future development of the e-commerce business, said the statement, adding that the two companies would work together to promote Indonesia's digital economy and support local small- and medium-sized enterprises.

GoTo Group, or PT GoTo Gojek Tokopedia Tbk, is Indonesia's largest internet technology company. The GoTo ecosystem consists of on-demand services, e-commerce, financial technology and logistics through the platforms of Gojek, Tokopedia, GoTo Financial and GoTo Logistics.

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TikTok halted its e-commerce feature, TikTok Shop, on Oct 4 due to new regulation implemented by the Indonesian Trade Ministry, which banned direct sales on social media platforms.