# Amazon joins Brazil’s e-commerce war

*The battle for scale turns delivery into the ultimate test of strength.*

- Published: 2025-10-02
- Author: André Vieira
- Section: Behind the Lines
- URL: https://brazilstockguide.com/behind-the-lines/amazon-joins-brazils-e-commerce-war/

**Amazon Brazil** sacrificed revenue to gain scale. It waived all Fulfillment by Amazon (FBA) fees until December — the service where the company takes over storage, packaging and delivery — and opened its marketplace free to new sellers. Those who invest in ads can extend the benefit until January. The global retail giant is stepping up its game in Brazil.

![](https://i0.wp.com/brazilstockguide.com/wp-content/uploads/2025/10/shopping.png?resize=1024%2C1024&ssl=1)

The battleground is shipping, where **Mercado Livre** still calls the shots. In June, MELI cut the free-shipping threshold from R$79 to R$19 across almost its entire site and slashed shipping costs for sellers by up to 40%, going after low-ticket sales — **Shopee’**s turf, which already counts more than 800 global brands with initial fee waivers. **Shein** is pressing in fashion with its Xcelerator program, delivering in 5–7 days. **TikTok**, a recent entrant, launched with a 6% commission, waived during the first 90 days.

Subsidies have become the rule in e-commerce. The game is one of thin margins but deep pockets. Platforms bankroll the offensive with advertising. This is an arms race, powered by capital and technology. **Amazon, MELI, Shopee, TikTok and Shein** all have the scale to endure, even at the cost of burning margins in the short term.

For traditional retail, the battle is out of reach. Debt-laden and tied to physical stores, they can only stroll down the mall corridor while the war rages outside.

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Source: Brazil Stock Guide, https://brazilstockguide.com/behind-the-lines/amazon-joins-brazils-e-commerce-war/