ByteDance-owned TikTok is targeting European countries, including Italy, Germany and France, as new destinations to expand its e-commerce base. Subsequently, the company is also looking to expand into Japan and Brazil later this year.

According to sources familiar with the development, merchants targeting Italy are expected to set up shop by the end of this month, while launch timelines for Germany and France remain uncertain. However, TikTok’s signature "yellow shopping cart" icon is anticipated to go live in Italy by late March or early April.

This shopping cart icon signifies TikTok’s social commerce strategy, enabling users to discover and purchase products directly through short videos and live streams. Influencers play a key role in curating and promoting items across various markets where TikTok Shop operates.

The Japan launch is projected for June, while the exact timeline for Brazil remains unconfirmed.

A Strategic Push Despite U.S. Scrutiny

TikTok Shop’s geographic expansion underscores ByteDance’s campaign to expand its fast-growing e-commerce base amidst the regulatory challenges the company is facing in the U.S. Last month, the U.S. Supreme Court upheld a law that has forced TikTok with an ultimatum to either close its American operations or face a ban.

The regulation comes after the national security authorities has found reasons to believe that allowing the company to operate in the United States could pose a very concerning threat to the country's national security.

To mitigate the security issue, the law stipulates that TikTok has to transfer its ownership to a non-Chinese buyer by mid January lest it be removed from all american app stores by mid January.

Hiring Surge and Fulfilled by TikTok

TikTok is actively hiring for its European expansion, listing dozens of e-commerce job openings across Italy, France, and Germany—four positions in Milan, six in Paris, and 11 in Munich. Additionally, there are 26 and 29 e-commerce-related job postings in Tokyo and São Paulo, respectively.

In Germany, TikTok is expected to implement the "Fulfilled by TikTok (FBT)" model, where the platform manages storage, packaging, and shipping on behalf of sellers. The UK, one of TikTok Shop’s earliest markets launched in 2021, pioneered the FBT system in 2023.

TikTok’s European expansion follows its December rollout in Spain and Ireland. Initially, the company had planned to enter additional European markets in mid-2023, but these efforts were delayed amid increased scrutiny from U.S. regulators.

With this latest push, TikTok Shop will be available in more than 10 countries, including the U.S. and Mexico.

But the biggest question is would the EU really open their doors to Tiktok, given the security risks the app poses? While there are some who are open to the idea of having Tiktok, but there are also others who are skeptical of the idea.

Finnish MEP, Aura Salla, was speaking at the EU parliament late last year, explaining how allowing TikTok into Europe would be a great risk to the EU's security and democracy.

Furthermore, there are also many European countries, such as The Netherlands, Norway, Belgium, and Denmark, just to name a few who have already posed a ban on the social media app. Hence, it remains to be seen if the Spain and Germany and Italy would do the same.

TikTok Shop’s Growing Market Share

Despite regulatory uncertainty in the U.S., TikTok Shop continues to outperform competitors such as Shein and Temu. In January, its U.S. sales surged 153% year over year, compared to Shein’s 26% and Temu’s 28%, according to Bloomberg Second Measure (BSM), which tracks credit and debit card transactions.

TikTok is also gaining traction in higher-value transactions exceeding $25—a key segment traditionally dominated by Shein—growing its market share in this category by 16 percentage points. Meanwhile, in transactions under $25, a segment where Temu leads, TikTok Shop saw a 7-percentage-point increase year over year in January.

As TikTok accelerates its global e-commerce expansion, its social commerce model continues to challenge established online retailers, reshaping the landscape of digital shopping.