Agentic commerce will remain niche in 2026. And while regulation may help local businesses compete against Chinese sellers, pressures on advertising will be magnified. From a digital commerce perspective, AI’s real impact will come in the mid-funnel as consumers embrace AI-assisted product discovery and research. A localized focus from Temu and TikTok will improve the fortunes of UK sellers, particularly small and medium-sized businesses (SMBs). However, new rules around online child protection and junk food advertising will force platforms and advertisers to rethink targeting, verification, and creative strategies.