TikTok plans entry into E-commerce with direct sales of made-in-China products

TikTok is planning to enter the e-commerce industry by allowing US customers to purchase made-in-China products directly from its platform. The main hub for this new venture will be called the "TikTok Shop Shopping Center." This initiative is an extension of the existing TikTok Shop program, which lets users shop from Lives, videos, and creator or brand profiles. However, TikTok will now take on a more active role, managing everything from purchasing to marketing, storage, and distribution.

The Wall Street Journal reports that TikTok's e-commerce business could be up and running by August. This move could position TikTok as a potential rival to successful US-based Chinese e-commerce companies like Shein and Temu. The platform's foray into e-commerce is also seen as a strategy to diversify its revenue sources beyond advertising.

The success of this e-commerce initiative will depend on whether TikTok's users will be interested in buying clothing and products directly from the app, and the platform's ability to attract and maintain those user base as online shoppers.