Electronic Advertising Duties in Online Trade: PERMENDAG 19/2026

The Ministry of Trade has issued a new instrument governing the conduct of trade through electronic systems. Peraturan Menteri Perdagangan Nomor 19 Tahun 2026 tentang Penyelenggaraan Usaha Perdagangan Melalui Sistem Elektronik (Minister of Trade Regulation 19 of 2026 on the Conduct of Trading Business Through Electronic Systems) runs to 76 articles and covers the actors, obligations, and administrative sanctions that apply to trade conducted over electronic systems, known in the regulation by its Indonesian abbreviation PMSE.

Issue

Online trade in Indonesia is carried out by several distinct classes of actor, and much of the earlier regulatory difficulty came from treating them as one. Pasal 1 sets out the definitions the rest of the instrument depends on. PMSE is trade whose transactions are conducted through a series of electronic devices and procedures. A Pelaku Usaha, or business actor, is any individual or entity, incorporated or not, engaged in PMSE, and the definition expressly reaches actors established outside Indonesia that conduct PMSE business within Indonesian territory. Within that group, a PPMSE is the business actor that supplies the electronic communication facility used for trading transactions, a Pedagang is the merchant that trades either through its own facility or through a PPMSE's, and an intermediary services provider, PSP, supplies an electronic communication facility while acting only as a conduit between sender and recipient. The distinctions matter because the duties that follow are allocated by role.

Key Provisions

The regulation's treatment of electronic advertising is one of its more detailed chapters. Pasal 29 permits electronic advertising to be delivered in real time online or on a delayed basis offline, across telecommunication, broadcasting, and internet channels, and allows delivery either directly or through a third-party PMSE application provider. Pasal 30 provides that where an advertisement is delivered through a PPMSE's facility, the PPMSE must comply with the rules on broadcasting, privacy and personal data protection, and consumer protection, and must not act contrary to the principles of fair business competition. Pasal 31 places responsibility for the substance of an advertisement on the business actor that creates it, supplies the facility for it, or disseminates it; that actor must ensure the material does not conflict with statutory requirements and is answerable for its content.

Pasal 32 sets the display conditions. An electronic advertisement must not mislead consumers as to the quality, quantity, materials, usefulness, or price of goods, the tariff for services, or the timeliness of delivery; must not misrepresent a warranty or guarantee; must not carry mistaken or inaccurate information about the goods or services; must convey information on the risks of using them; and must not exploit an event or a person without the authorisation of the competent party or the consent of the person concerned. It must also provide an exit function, marked by a close, skip, or shut indicator placed in a clearly visible position. Where an advertisement displays consumer reviews or testimonials, the second paragraph of Pasal 32 requires the identity information of the legal subject giving them to be stated or held, and its accuracy ensured.

On supervision, Pasal 56 allows the Minister to request data and information on the documentation of complaints and dispute resolution referred to in Pasal 10, and on the list of merchants using the temporary registration feature under Pasal 17. The administrative sanctions chapter follows, applying the graduated approach familiar from other recent ministerial instruments, such as the staged administrative sanctions used in the environmental sector.

Implications

Marketplace operators carry duties that do not depend on their having written the advertisement. Under Pasal 30 a PPMSE whose facility carries an advertisement is answerable for compliance with the personal data and consumer protection rules, while Pasal 31 keeps content responsibility with whoever made, hosted, or spread the material. The testimonial rule in Pasal 32 reaches the influencer and review formats that dominate Indonesian social commerce, since it requires the advertiser to hold and verify the identity of the person whose endorsement is shown. Licence applications and end-of-business reports run through the OSS system administered by the investment ministry, while Pasal 56 lets the Minister request complaint-handling records and lists of temporarily registered merchants from operators.

Regulatory Context

Regulation 19/2026 replaces Minister of Trade Regulation 31 of 2023, which Pasal 75 revokes, and its reach over foreign business actors operating in the Indonesian market is stated in the definitional article rather than left to inference. The detailed operation of the sanctions chapter, and how the Minister exercises the information requests under Pasal 56, will shape how the obligations are felt in practice.

Read the explanation of this regulation in the CRPG legal encyclopedia.

Methodology: This memo summarises the official regulation text and is not legal advice; report corrections to contact@crpg.id.

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Correction (27 September 2026): this post was checked against the official text of Permendag 19/2026 and corrected. What changed: Licensing and closure reports go through the OSS system of the investment ministry; Pasal 56 lets the Minister request complaint records and merchant lists held by operators. Also: 3 minor corrections of detail. Report errors to contact@crpg.id.