According to a company announcement sent to sellers on 14/11, TikTok Shop did not state a reason for this change. However, it confirmed that sellers can still work with other carriers besides USPS. The platform advised sellers to prepare by 31/12 to avoid any disruptions in order processing.

This new regulation means that USPS labels generated from external platforms such as Shopify, ShipStation, or direct USPS accounts will be rejected. According to Tactical Logistics Solutions, this move allows TikTok Shop to more strictly control the delivery process for orders created on its platform, ensuring greater oversight.

TikTok Shipping currently provides an integrated tool for creating shipping labels, allowing sellers to choose services from FedEx, UPS, and USPS. Tactical Logistics Solutions suggests that sellers impacted by the change can continue to utilize USPS through TikTok Shipping or transition to working directly with UPS or FedEx.

"Most large brands will opt for a hybrid model: using USPS via TikTok when costs are suitable, and increasing the proportion of UPS/FedEx when more control and stability are needed", the company stated.

Some businesses are already evaluating their options before the regulation takes effect. Axion, an e-commerce logistics provider, announced it would not use TikTok Shop's labels due to the more complex process and its potential impact on profit margins. "We can disable USPS and ship with UPS, FedEx, Amazon Shipping... without affecting speed", COO Logan Black shared on LinkedIn. "However, the issue lies in cost. For many TikTok Shop sellers, especially those with small and light items, USPS is the cheapest option. Switching to another carrier will increase costs, forcing either the seller or the buyer to bear the additional burden".

TikTok did not respond when asked for comment, while USPS declined to reply.

By The Dan (Source: Supply Chain Dive)