TikTok fought to stay in the US. Its shopping business shows what was at stake
TikTok Shop generated an estimated USD 11.8 billion in gross merchandise value (GMV) in the US in the first half of 2026, more than double the same period last year. The US accounted for roughly 23% of global GMV, which reached USD 50.3 billion in the first half of 2026.
Intelligence analysis by Llama
TikTok Shop's growth in the US is notable, with a 103% year-on-year increase in gross merchandise value (GMV) in the first half of 2026. The platform's share of total US online retail spending has risen steadily since its US launch in late 2023.
Imagine a social media app where you can watch videos and buy things you like. That's TikTok Shop. It's like a big online mall where you can browse and buy products from different sellers. TikTok Shop is growing really fast in the US, but it still has a long way to go to catch up with big players like Amazon.
Analysis
A Brief History of TikTok's US Presence
TikTok's US presence has been marked by controversy and uncertainty. In 2020, the US government launched an investigation into the app's data collection practices, citing national security concerns. The investigation led to a ban on the app in the US, which was later lifted in 2021 after ByteDance agreed to divest its US operations. The deal, which was completed in January 2026, transferred control of TikTok's US data, algorithms, and app security to a majority US-owned joint venture. ByteDance retained a 19.9% stake, while continuing to oversee revenue-generating businesses, including e-commerce and advertising, through another subsidiary.
The Rise of TikTok Shop
TikTok Shop, the e-commerce platform launched by TikTok in 2023, has been a key driver of the company's growth in the US. The platform allows users to browse and purchase products directly from the app, using a mix of short videos, live streaming, and commerce. In the first half of 2025, videos accounted for 50% of TikTok Shop's attributed US GMV, compared with 36% generated through Shop, its marketplace interface, and 14% through live streaming. One year later, Shop had become the largest channel at 51.4%, while video fell to 40.4% and live declined to 8.2%. The shift does not necessarily mean TikTok's content advantage is weakening. Momentum Works said videos continue to drive product discovery, while users are increasingly completing purchases through Shop after searching for and comparing products.
Competition and Challenges
TikTok Shop's growth in the US is not without its challenges. The platform faces intense competition from established players such as Amazon, eBay, and Walmart. Additionally, the platform's reliance on user-generated content and live streaming creates challenges for moderation and safety. Despite these challenges, TikTok Shop has shown remarkable resilience and adaptability, with a growing user base and increasing sales. As the platform continues to evolve, it will be interesting to see how it addresses these challenges and maintains its growth trajectory.
Key points
- TikTok Shop generated an estimated USD 11.8 billion in gross merchandise value (GMV) in the US in the first half of 2026.
- The US accounted for roughly 23% of global GMV, which reached USD 50.3 billion in the first half of 2026.
- TikTok Shop's share of total US online retail spending has risen steadily since its US launch in late 2023.
- The platform's growth in the US is notable, with a 103% year-on-year increase in gross merchandise value (GMV) in the first half of 2026.
- TikTok Shop's success in the US market has significant implications for its parent company, ByteDance, and the broader e-commerce industry.
TikTok Shop's growth in the US is a positive sign for the company's e-commerce ambitions. If the platform can continue to adapt and innovate, it may be able to gain significant market share and become a major player in the US e-commerce market.
TikTok Shop's reliance on user-generated content and live streaming creates challenges for moderation and safety. If the platform is unable to address these challenges, it may struggle to maintain its growth trajectory and face increased competition from established players.
