diff --git a/plugins/woocommerce/changelog/e2e-external-fix-activate-theme-util b/plugins/woocommerce/changelog/e2e-external-fix-activate-theme-util
new file mode 100644
index 00000000000..47fe465eb1e
--- /dev/null
+++ b/plugins/woocommerce/changelog/e2e-external-fix-activate-theme-util
@@ -0,0 +1,4 @@
+Significance: patch
+Type: fix
+
+E2E tests - fixing activateTheme util to work on wp env and external envs
\ No newline at end of file
diff --git a/plugins/woocommerce/tests/e2e-pw/tests/customize-store/intro.spec.js b/plugins/woocommerce/tests/e2e-pw/tests/customize-store/intro.spec.js
index 22d7c7d449d..449add25331 100644
--- a/plugins/woocommerce/tests/e2e-pw/tests/customize-store/intro.spec.js
+++ b/plugins/woocommerce/tests/e2e-pw/tests/customize-store/intro.spec.js
@@ -58,24 +58,21 @@ test.describe(
 			);
 		} );
 
-		test(
-			'it shows the "offline banner" when the network is offline',
-			{ tag: '@skip-on-default-pressable' },
-			async ( { page, context } ) => {
-				await page.goto( CUSTOMIZE_STORE_URL );
-				await expect(
-					page.locator( 'text=Design your own' )
-				).toBeVisible();
-				await context.setOffline( true );
+		test( 'it shows the "offline banner" when the network is offline', async ( {
+			page,
+			context,
+		} ) => {
+			await page.goto( CUSTOMIZE_STORE_URL );
+			await expect(
+				page.locator( 'text=Design your own' )
+			).toBeVisible();
+			await context.setOffline( true );
 
-				await expect( page.locator( '.offline-banner' ) ).toBeVisible();
-				await expect(
-					page.locator(
-						'text=Looking to design your store using AI?'
-					)
-				).toBeVisible();
-			}
-		);
+			await expect( page.locator( '.offline-banner' ) ).toBeVisible();
+			await expect(
+				page.locator( 'text=Looking to design your store using AI?' )
+			).toBeVisible();
+		} );
 
 		test( 'it shows the "no AI" banner on Core when the task is not completed', async ( {
 			page,
@@ -118,38 +115,34 @@ test.describe(
 			).toBeVisible();
 		} );
 
-		test(
-			'it shows the "non default block theme" banner when the theme is a block theme different than TT4',
-			{ tag: '@skip-on-default-pressable' },
-			async ( { page } ) => {
-				await activateTheme( 'twentytwentythree' );
+		test( 'it shows the "non default block theme" banner when the theme is a block theme different than TT4', async ( {
+			page,
+		} ) => {
+			await activateTheme( 'twentytwentythree' );
 
-				await page.goto( CUSTOMIZE_STORE_URL );
+			await page.goto( CUSTOMIZE_STORE_URL );
 
-				await expect( page.locator( 'h1' ) ).toHaveText(
-					'Customize your theme'
-				);
-				await expect(
-					page.getByRole( 'button', { name: 'Go to the Editor' } )
-				).toBeVisible();
-			}
-		);
+			await expect( page.locator( 'h1' ) ).toHaveText(
+				'Customize your theme'
+			);
+			await expect(
+				page.getByRole( 'button', { name: 'Go to the Editor' } )
+			).toBeVisible();
+		} );
 
-		test(
-			'clicking on "Go to the Customizer" with a classic theme should go to the customizer',
-			{ tag: '@skip-on-default-pressable' },
-			async ( { page } ) => {
-				await activateTheme( 'twentytwenty' );
+		test( 'clicking on "Go to the Customizer" with a classic theme should go to the customizer', async ( {
+			page,
+		} ) => {
+			await activateTheme( 'twentytwenty' );
 
-				await page.goto( CUSTOMIZE_STORE_URL );
+			await page.goto( CUSTOMIZE_STORE_URL );
 
-				await page
-					.getByRole( 'button', { name: 'Go to the Customizer' } )
-					.click();
+			await page
+				.getByRole( 'button', { name: 'Go to the Customizer' } )
+				.click();
 
-				await page.waitForNavigation();
-				await expect( page.url() ).toContain( 'customize.php' );
-			}
-		);
+			await page.waitForNavigation();
+			await expect( page.url() ).toContain( 'customize.php' );
+		} );
 	}
 );
diff --git a/plugins/woocommerce/tests/e2e-pw/tests/customize-store/transitional.spec.js b/plugins/woocommerce/tests/e2e-pw/tests/customize-store/transitional.spec.js
index 58f4165f233..b156bec00aa 100644
--- a/plugins/woocommerce/tests/e2e-pw/tests/customize-store/transitional.spec.js
+++ b/plugins/woocommerce/tests/e2e-pw/tests/customize-store/transitional.spec.js
@@ -60,20 +60,17 @@ test.describe(
 			);
 		} );
 
-		test(
-			'Accessing the transitional page when the CYS flow is not completed should redirect to the Intro page',
-			{ tag: '@skip-on-default-pressable' },
-			async ( { page, baseURL } ) => {
-				await page.goto( TRANSITIONAL_URL );
+		test( 'Accessing the transitional page when the CYS flow is not completed should redirect to the Intro page', async ( {
+			page,
+			baseURL,
+		} ) => {
+			await page.goto( TRANSITIONAL_URL );
 
-				const locator = page.locator( 'h1:visible' );
-				await expect( locator ).not.toHaveText(
-					'Your store looks great!'
-				);
+			const locator = page.locator( 'h1:visible' );
+			await expect( locator ).not.toHaveText( 'Your store looks great!' );
 
-				await expect( page.url() ).toBe( `${ baseURL }${ INTRO_URL }` );
-			}
-		);
+			await expect( page.url() ).toBe( `${ baseURL }${ INTRO_URL }` );
+		} );
 
 		test( 'Clicking on "Finish customizing" in the assembler should go to the transitional page', async ( {
 			pageObject,
diff --git a/plugins/woocommerce/tests/e2e-pw/tests/shopper/launch-your-store.spec.js b/plugins/woocommerce/tests/e2e-pw/tests/shopper/launch-your-store.spec.js
index 5db7a5ebd3b..9009f3e6787 100644
--- a/plugins/woocommerce/tests/e2e-pw/tests/shopper/launch-your-store.spec.js
+++ b/plugins/woocommerce/tests/e2e-pw/tests/shopper/launch-your-store.spec.js
@@ -74,7 +74,7 @@ async function runComingSoonTests( themeContext = '' ) {
 
 test.describe(
 	'Launch Your Store front end - logged out',
-	{ tag: [ '@skip-on-default-wpcom', '@skip-on-default-pressable' ] },
+	{ tag: '@skip-on-default-wpcom' },
 	() => {
 		test.afterAll( async ( { baseURL } ) => {
 			try {
diff --git a/plugins/woocommerce/tests/e2e-pw/utils/themes.js b/plugins/woocommerce/tests/e2e-pw/utils/themes.js
index 0f66505a654..129ca1ae031 100644
--- a/plugins/woocommerce/tests/e2e-pw/utils/themes.js
+++ b/plugins/woocommerce/tests/e2e-pw/utils/themes.js
@@ -1,18 +1,61 @@
 const { exec } = require( 'node:child_process' );
+const { encodeCredentials } = require( '../utils/plugin-utils' );
+const https = require( 'https' );
+const { admin } = require( '../test-data/data' );
+const { BASE_URL } = process.env;
 
 export const DEFAULT_THEME = 'twentytwentythree';
 
 export const activateTheme = ( themeName ) => {
 	return new Promise( ( resolve, reject ) => {
-		const command = `wp-env run tests-cli wp theme install ${ themeName } --activate`;
+		const isLocalhost = BASE_URL.includes( 'localhost' );
+		if ( isLocalhost ) {
+			// Command for local environment
+			const command = `wp-env run tests-cli wp theme install ${ themeName } --activate`;
 
-		exec( command, ( error, stdout ) => {
-			if ( error ) {
-				console.error( `Error executing command: ${ error }` );
-				return reject( error );
-			}
+			exec( command, ( error, stdout ) => {
+				if ( error ) {
+					console.error( `Error executing command: ${ error }` );
+					return reject( error );
+				}
+				resolve( stdout );
+			} );
+		} else {
+			// HTTPS request for external environment
+			const url = new URL( BASE_URL );
+			const options = {
+				hostname: url.hostname,
+				port: url.port || 443,
+				path: '/wp-json/custom/v1/activate-theme',
+				method: 'POST',
+				headers: {
+					Authorization: `Basic ${ encodeCredentials(
+						admin.username,
+						admin.password
+					) }`,
+					'Content-Type': 'application/json',
+				},
+			};
 
-			resolve( stdout );
-		} );
+			const req = https.request( options, ( res ) => {
+				let data = '';
+
+				res.on( 'data', ( chunk ) => {
+					data += chunk;
+				} );
+
+				res.on( 'end', () => {
+					resolve( JSON.parse( data ).message );
+				} );
+			} );
+
+			req.on( 'error', ( error ) => {
+				reject( error );
+			} );
+
+			// Send the request body
+			req.write( JSON.stringify( { theme_name: themeName } ) );
+			req.end();
+		}
 	} );
 };