TikTok e-commerce is set to enter Brazil, potentially reshaping the e-commerce market landscape. TikTok Shop, also known as TikTok e-commerce, will allow TikTok users to sell products on the platform and is expected to officially enter the Brazilian market in April. This feature, which was launched in Mexico a month ago, is poised to lead the transformation of the e-commerce industry in Brazil and is likely to reshape the e-commerce landscape in the region.

Reports from Santander Bank and Itaú Bank in Brazil indicate that the TikTok e-commerce feature is expected to go live next month, with the specific date yet to be confirmed. Santander Bank's report highlights that the successful launch of TikTok e-commerce in the Mexican market demonstrates its openness to collaboration with established businesses and a range of positive incentives provided to sellers. Particularly in categories such as beauty, fashion, and home products, the market response has been positive.

The report also predicts that some brands are already preparing for the official launch of TikTok e-commerce in Brazil, including clothing retailer C&A, e-commerce platform Magalu, Mercado Livre, beauty brand Natura, and clothing retail giant Renner.

Santander Bank also notes that the first 90 days of TikTok e-commerce in Brazil may offer promotional activities such as commission-free days and free delivery, but it is expected to completely prohibit the sale of jewelry, food, and second-hand goods on the platform.

Based on Santander Bank's estimates in February this year, TikTok e-commerce is expected to capture a 5% to 9% share of the Brazilian e-commerce market in the next three years and emerge as a strong competitor in the e-commerce sector. This forecast is supported by the potential of the TikTok app in the Brazilian market, where Brazil has become the platform's third-largest market with over 1.113 billion users, following Indonesia and the United States.