TikTok's Social Commerce Penetration Rate Surpasses Facebook and Instagram in Multiple Countries | Cross-border E-commerce Weekly Report

[Ebrun Original] Here are the developments in the cross-border e-commerce sector over the past week:

# Platform Dynamics #

[Amazon]

1. Amazon Global Selling Launches 'Benchmark New Seller Incubation Program'

On July 17, Amazon Global Selling officially launched a long-term 'Benchmark New Seller Incubation Program'. The initial goal is to help 2,000 newly onboarded brands achieve sales exceeding 100 million RMB per brand within three years by 2029. This program targets high-quality enterprises such as manufacturers, brand owners, and emerging brands, providing customized overseas expansion solutions covering marketplaces in North America, Europe, Japan, and more.

2. Amazon Peak Season Fulfillment Fees Effective October 15, Seller Logistics Costs to Rise

Amazon announced that it will charge peak season fulfillment fees for certain FBA orders from October 15, 2026, to January 14, 2027, with differing fee rules for the UK, Germany, and North America marketplaces. It is reported that the targets for Amazon's peak season fulfillment fees in the UK include small and standard-size parcels, as well as large and oversized envelopes, handled by both local Amazon Logistics in the UK and the European Fulfillment Network (EFN) service from the EU to the UK. For locally delivered small and standard-size parcels in the UK, an average additional fee of ￡0.12 per item will be charged; for large and oversized envelopes, the average increase is ￡0.07 per item. For remote fulfillment from the EU to the UK, the fee increase is larger, with an average increase of ￡0.24 per parcel and ￡0.09 per large/oversized envelope.

3. Amazon Europe Sites Experience Sudden System Anomalies, Product Rankings and Categories Disrupted in Multiple Countries

On July 17, it was reported that Amazon's European sites recently experienced systemic anomalies, with the German, French, Italian, Spanish, and other marketplaces seeing incorrect adjustments to product front-end categories, significant drops, or even disappearance of bestseller rankings. Some sellers discovered upon starting work that their previously stable product listing rankings had suddenly dropped, some product category nodes were abnormal, and bestseller lists were dominated by Amazon's own products and local sellers' items.

[TikTok]

1. TikTok's Social Commerce Penetration Rate Surpasses Facebook and Instagram in Multiple Countries

A recent DHL report shows that TikTok's penetration rate as a social commerce platform surpasses that of Facebook and Instagram in markets including Malaysia, Thailand, Saudi Arabia, the UK, Germany, Italy, France, and Spain. Specifically, the rates reach 95% in Malaysia, 93% in Thailand, 77% in Saudi Arabia, and 72% in the UK, indicating significant leads. This data, covering user behavior research in the first half of 2026, reflects TikTok's advantage in localized e-commerce conversion and content-driven discovery capabilities. The report points out that the short video-to-instant purchase pathway is its core growth driver.

2. Major Update to TikTok Shop US Bond Rules: No Longer Accumulated by Category, Changed to Three-Part Comprehensive Calculation

TikTok Shop US store bond rules have undergone a major update. The core change in this adjustment is a significant shift in the bond collection logic: from the previous method of accumulating fees item-by-item based on business categories, it has shifted to a comprehensive collection model based on the store as a unit. The total bond under the new rules consists of three parts: a basic bond, a category bond, and a risk scenario bond.

3. TikTok Contributes ￡10 Billion in GVA Annually to UK Economy and Supports 153,000 Jobs

According to a TikTok report compiled by public policy research institute PublicFirst with additional analysis by EY, TikTok-driven economic activity contributed at least ￡10 billion in Gross Value Added (GVA) to the UK economy in 2025, accounting for approximately 0.3% of UK GDP, and created around 153,000 jobs. Over ￡9 billion of this economic contribution came from the value generated by individuals and businesses discovering, promoting, and selling products and services through TikTok, with the remainder stemming from TikTok's direct investments in the UK market.

4. TikTok Shop Ranks as UK's Fourth Largest Beauty Retailer

On July 17, it was reported that a report commissioned by TikTok and released by consultancy Public First shows that TikTok Shop has become the UK's fourth largest beauty retailer. Last year, beauty category sales in the UK market grew by 60%, making it one of the platform's strongest-performing categories. The report estimates that TikTok-related activities could create at least ￡10 billion in GVA for the UK economy in 2025 and support 153,000 jobs, with its contribution to the UK economy projected to reach ￡27 billion by 2030.

5. TikTok Shop UK Books Category Grows Over 250% YoY, Livestreaming a Core Driver

According to foreign media reports, over the past 12 months, the books category on TikTok Shop UK has grown over 250% year-on-year. This growth is driven by the BookTok community, livestream shopping, and long-term channel investments from major publishers. It is reported that the UK's four major publishers—Penguin Random House UK, Hachette UK, HarperCollins UK, and Pan Macmillan—have all established a presence on TikTok Shop. Livestream shopping is the core driver of category growth, with TikTok Shop UK hosting over 6,000 livestream shopping events daily, selling 3 books per minute on the platform. When HarperCollins UK joined in November 2022, it listed only 40 titles; it now has over 23,000 titles in stock, has accumulated nearly 100,000 followers, and has consistently ranked first among publishers on TikTok Shop UK since joining. The team hosts a fixed 2.5-hour livestream every Wednesday, hosted by team members familiar with the books, building a loyal audience.

6. TikTok Thailand Accelerates Mini-Series Ecosystem Layout, Launches In-App Paid Revenue Sharing Model

On July 15, it was reported that TikTok Thailand will further expand its Mini-Series business, collaborating with local content production companies to build an in-app entertainment ecosystem integrating content discovery, viewing experience, and paid services. This move continues the closed-loop model of TikTok's e-commerce business, which avoids redirecting users to external sites, and is gradually extending to more areas like tourism and finance.

[Alibaba]

1. AliExpress Launches 'AI Opportunity Product Selection' Feature, Freely Opens AI Trend Prediction Capability

On July 14, it was reported that AliExpress recently launched the 'AI Opportunity Product Selection' feature, freely available to merchants under POP, Full Managed, and Overseas Managed models. After its launch, over 95% of the platform's opportunity trends will be automatically generated by AI based on consumption trends and scarce supply. It not only provides merchants with suggestions for 'definitive hit products' but also possesses consumption trend prediction capabilities, helping merchants shift from passively following the market to proactively seizing first-mover opportunities for hit products under emerging demand. It is understood that AliExpress is the first among the 'Four Little Dragons Going Global' cross-border e-commerce platforms to launch AI-powered trend and opportunity prediction capabilities. This feature includes six core advantages: intelligent guidance, customized recommendations per merchant, trend insights, AI-powered opportunity breakdown and Q&A, special subsidies and traffic support for qualifying new products, and flexible multi-channel listing.

[Pinduoduo Temu]

1. Temu Releases 2026 Intellectual Property Protection Report: Proactively Monitored Brands Exceed 15,000

According to foreign media reports, Temu recently released its 2026 Intellectual Property Protection Report, covering the period from June 2025 to May 2026, disclosing the platform's progress and achievements in intellectual property protection work. According to the report, over the past year, the number of brands proactively monitored by the platform increased from over 5,000 to over 15,000. The ratio of proactively removed potentially infringing product listings to passively removed ones increased from approximately 200:1 last year to 331:1. The platform's detection database now contains over 47 million images and 9.5 million keywords, with image coverage growing over 8 times compared to the previous year. The average processing time for intellectual property complaints is less than 24 hours. Over the past year, the number of industry associations the platform has engaged with exceeded 130, nearly double the previous year's figure. It is reported that Temu relies on a combination of self-developed screening technology and manual review teams to proactively screen and remove infringing product listings. Detecting infringements in advance can reduce the burden of rights protection for brand owners, especially suiting small and medium-sized merchants without dedicated IP teams. The platform sets pre-entry review thresholds during seller onboarding; over the past year, more than 40% of new registration applications were rejected during the verification stage, and over 16,000 stores were removed during the same period for repeatedly violating intellectual property rules. All product listings are compared against the detection database content before going live and continue to be monitored afterward.

[Shopee]

1. Shopee's 'Logistics+' Return & Refund Scenario Launches in Vietnam and Thailand

On July 12, it was reported that to help sellers reduce cross-border operational risks, Shopee recently announced a significant expansion of its 'Logistics+: Overseas No-Return Service', with the return and refund scenario now officially open to the Vietnam and Thailand sites. 'Logistics+: Overseas No-Return Service' is a paid value-added service launched by Shopee based on its official logistics service, targeting cross-border orders. It aims to help cross-border sellers reduce losses from failed transactions due to buyer-related reasons, mainly covering two pain points: delivery failure and return/refund. After joining this service, for orders resulting in delivery failure or return/refund, and if funding conditions are met, the platform will disburse 70% of the product's selling price. This allows sellers to recover part of the payment while saving the time and shipping costs associated with waiting for returned goods. Regarding service coverage, the 'Delivery Failure Scenario' already covers the Philippines, Malaysia, Vietnam, Thailand, and Singapore sites, covering situations such as buyer refusal, inability to contact the buyer, failure to pick up within the time limit, and incorrect addresses. The 'Return & Refund Scenario' previously covered the Philippines and Malaysia; with the addition of Vietnam and Thailand, the applicable sites have expanded to four, covering situations like returns in original condition, damaged packaging, and product damage.

2. Shopee Brazil Shifts Tax Declaration Responsibility for Influencer Commissions to Sellers Starting August

On July 17, it was reported that starting August 1, 2026, the responsibility for tax declaration related to commissions from the Shopee Brazil Affiliate Program will shift from the platform to sellers. Previously, the platform was responsible for submitting relevant documents to tax authorities; subsequently, sellers will need to handle this themselves. This move will increase costs for hiring accountants and establishing internal compliance processes, particularly raising operational complexity for small and medium-sized sellers reliant on affiliate promotions. The platform stated this aims to optimize tax management processes but did not elaborate on specific reasons. On the same day, TikTok Shop Brazil also adjusted its commission mechanism: the commission rate for products priced below 50 Brazilian Reais increased from 6% to 10%; for products priced above 50 Reais, an additional fixed fee of 6 Reais per order will be charged, changing from the previous proportional fee model.

3. Shopee Malaysia Overseas Warehouse Adjusts Fees for Non-Platform-Caused Relabeling Starting July 15

On July 15, it was reported that the Shopee Malaysia Cross-border Store Official Overseas Warehouse will adjust fees for handling abnormal items caused by non-platform reasons, such as those requiring relabeling or label replacement, effective July 15, 2026. The new fee standard only applies to orders warehoused on or after July 15, or orders that trigger the abnormal handling process after that date; previously warehoused items and abnormal items processed according to the original procedure will still be settled at the old standard.

4. Shopee Thailand Local Stores Face Third Commission Hike This Year; Small Stores Eligible for Fee Discount

On July 12, it was reported that Shopee Thailand local stores are about to face their third commission adjustment this year. Shopee recently issued an official announcement stating that starting from local time on August 4, 2026, the platform will adjust the sales commission rates for Mall sellers and non-Mall sellers, with variations based on product category and seller type, ranging from zero to a maximum increase of approximately 3.21 percentage points. Looking at specific categories, for regular sellers, the rate for the Fashion Accessories category will increase from 11.24% to 13.38%, and the FMCG category from 13.91% to 16.05%. The largest increase occurs for PRIME sellers in the Surveillance Cameras category, with a hike of 3.21 percentage points. Notably, in this round of increases, the platform has also set up a buffer mechanism for small sellers. Eligible stores—those with total sales not exceeding 10,000 Thai Baht in the 30 days prior to the monthly settlement cycle—can enjoy a sales commission discount of 0.5% to 1.5%. This differentiated arrangement shows the platform's attempt to mitigate the impact on micro and small sellers' operating costs while raising overall rates.

[Other Platforms]

1. JD.com's Joybuy Launches 2026 European PoP Platform Merchant Recruitment

Joybuy, the cross-border platform under JD International, has officially launched its 2026 PoP (Platform Open Plan) seller recruitment, targeting the European market to recruit high-quality seller resources. The platform requires merchants to have strong operational capabilities: a single store or brand must have achieved a GMV of over 1.5 million euros in the European market in 2025, and the merchant entity must have a GMV of over 2 million euros. Additionally, merchants need to have relevant category rankings within the top 50 and possess European local overseas warehouse fulfillment capabilities. Enrolling merchants must hold business licenses from countries like the UK, Germany, France, or from China/Hong Kong/Macau, and provide VAT numbers for the target markets.

2. South Africa's Largest Local Platform Takealot Achieves First Full-Year Profit: Claims 'Ready to Battle Cross-border E-commerce Rivals'

On July 12, it was reported that South African local e-commerce giant Takealot Group recently announced that for the 2025/26 fiscal year ending March 31, 2026, the company achieved its first-ever full-year net profit since its establishment. During the reporting period, Takealot Group's operating revenue increased by 18% year-on-year to 17.7 billion South African Rand, approximately $1 billion. Calculated on an adjusted EBIT basis, the company's performance shifted from a loss of 213 million Rand in the previous fiscal year to a profit of 171 million Rand. As the group's core business segment, the Takealot.com online marketplace achieved an adjusted EBIT of 85 million Rand this fiscal year. Besides a 15% year-on-year increase in Gross Merchandise Value, the group also focused on cost optimization initiatives during the reporting period, driving profitability improvements. Takealot remains optimistic about its future development prospects. The group expects profitability to further strengthen with the continued growth of services like the TakealotMore membership program and Takealot Fulfilment Systems. The company also explicitly stated that, although its market share has declined from around 35% in 2020 to about 24% in 2025, it is confident in maintaining its leading position in the local e-commerce market and is prepared to compete with cross-border platforms like Amazon, Temu, and SHEIN.

3. European Local Fashion Platform AboutYou Introduces Three New Policies to Boost Third-Party Seller Business

The EU has officially abolished the long-standing tariff exemption policy for goods valued below 150 euros, replacing it with a temporary tariff of 3 euros per declared item for B2C goods with a value not exceeding 150 euros. It also plans to add a 2 euro handling fee per parcel starting this November. Against this backdrop, leading European local fashion platform AboutYou has begun accelerating its Marketplace (third-party seller platform) model, successively introducing three supportive new policies: logistics network expansion, warehouse and fulfillment model upgrades, and commission concessions. These provide sellers with channels to avoid policy impacts and quickly enter the European market. It is reported that for merchants with their own cross-border logistics resources who wish to independently control their market layout, AboutYou's Merchant Fulfilled (FBM) model has been further expanded to include last-mile coverage in Poland, the Czech Republic, and Portugal.

# Company Developments #

1. Mixue Bingcheng's Overseas Expansion Faces Adjustment: First Annual Net Reduction of 428 Overseas Stores in 2025

Mixue Bingcheng, which rapidly developed in the domestic market with its low-price strategy and rapid expansion model, is undergoing a phase of adjustment in its overseas business. Its 2025 financial report shows the first annual net reduction in overseas stores, with a net closure of 428 stores for the year. The proportion of overseas stores to its global total has fallen below 8%. Indonesia and Vietnam, which once served as core overseas markets contributing over 80% of overseas stores, are now undergoing concentrated contraction. Mixue Bingcheng stated that this adjustment primarily involves 'operational adjustments and optimizations' for existing stores. Currently, its focus for new store openings overseas has shifted to markets like Thailand, Malaysia, and Central Asia.

# Overseas Marketing #

1. Meta Removes Instagram AI Image Generation Feature, Cross-border Content Compliance Supervision Tightens

Recently, social media giant Meta urgently removed Instagram's new AI image generation feature. The further tightening of regulations on AI-generated content by overseas social platforms will also impact cross-border sellers' content production and advertising material compliance. The controversial feature that was taken down allowed users to tag public Instagram accounts to directly use others' public portraits and works to generate AI images, and initially defaulted to allowing public content to be referenced. This mechanism subsequently sparked protests from organizations like the US Screen Actors Guild, deemed to carry high risks of portrait rights infringement while potentially increasing security risks like malicious image generation, fraud, and false content. Meta ultimately determined the feature did not meet compliance requirements and shut it down completely.

# Cross-border Logistics #

1. Amazon Logistics Cuts US Fees, Accelerates Competition for UPS and FedEx Market Share

On July 14, it was reported that Amazon is competing for third-party logistics market share in the US market through its 'Amazon Shipping' service, offering lower rates and fewer surcharges compared to UPS and FedEx. The service has been fully open to all businesses since early 2026, having previously been available only to select customers. This move indicates that Amazon is no longer limited to its e-commerce self-operated logistics business but plans to further expand into the comprehensive logistics market. Leveraging its existing delivery network and scale advantages, Amazon is driving changes in the competitive landscape of the North American parcel fulfillment market.

# Industry Policies & Data #

1. China's June Exports Up 27% YoY, AI Demand Drives Trade Growth

Data released by the General Administration of Customs on July 14, 2026, shows that export value in June increased by 27% year-on-year, accelerating from the 19.4% growth in May and exceeding economists' previous expectations. Import value in the same period increased by 36% year-on-year, higher than the 27.4% growth in May, with some analysts attributing the import value expansion to increased import costs due to the Iran conflict. China's trade surplus in June reached $125.6 billion, widening from $105.4 billion in the previous month.

2. Hangzhou Cross-border E-commerce Comprehensive Pilot Zone Shows Remarkable Decade of Development, Import/Export Value Grows 1,266-fold

On July 15, it was reported that as the nation's first Cross-border E-commerce Comprehensive Pilot Zone, Hangzhou has achieved leapfrog development after a decade of exploration, with its cross-border e-commerce import and export value growing 1,266-fold compared to the initial stage, and the number of active sellers expanding 325-fold. Hangzhou took the lead in establishing a system of institutional innovations covering customs clearance, logistics, finance, credit insurance, and other areas, which have been replicated and promoted nationwide. Simultaneously, the area has successfully attracted the majority of domestic leading cross-border e-commerce platforms and payment enterprises to cluster there, gradually forming a mature, element-complete cross-border e-commerce industry cluster worth hundreds of billions, becoming a typical demonstration of high-quality development in China's cross-border e-commerce sector.

3. EU Requires Google to Open Android AI Functions and Search Data

On July 17, it was reported that on July 16, the European Commission issued two binding technical specification measures to Google under the Digital Markets Act (DMA), requiring it to open key Android system functions to third-party AI assistants and share anonymized search data with third-party search engines to promote competition in the AI and search markets. According to the requirements, Google must allow third-party AI assistants to access key Android system functions, supporting capabilities like voice wake-up and cross-app task execution, granting them the same treatment as its own Gemini AI. Simultaneously, Google must open anonymized search data to eligible search engines and AI chatbots with search functionality, establishing transparent data access and pricing mechanisms.

4. Adobe: As Amazon and Google Double Down on AI Shopping Decision Layers, Sellers Need to Adapt to Machine-Readable Rules

During the recently concluded mid-year Prime Day event, Amazon placed its integrated AI shopping assistant, Alexa for Shopping, at the core of the deal discovery process. It can perform actions like pushing deals, interpreting products, and tracking prices, with some scenarios supporting direct purchases. According to Adobe's statistics, during this event, the conversion rate of traffic flowing to retailers via AI assistants was higher than other channels, whereas a year ago, the conversion rate for similar traffic was below average. This directly reflects the gradual maturity of Amazon's AI shopping-related tools.