Single Biggest Chinese Export Will Be Exempt From Trump Tariffs, Quietly Released US Customs Message Reveals

The Trump administration has quietly added an exception to its massive newly-imposed tariffs on Chinese goods: smartphones, China's number one export to the United States.

A customs memo posted early Saturday morning carved out a broad range of exclusions involving electronics, including semiconductors, solar cells and memory cards, the BBC reported.

The sudden carve-out has raised eyebrows, particularly after U.S. Commerce Secretary Howard Lutnick announced just days ago that one of the tariff initiative's core goals was to bring iPhone manufacturing back to the United States.

The apparent reversal spares Apple from the punishing 125% tariff blow. As much as 80% of iPhones sold in the U.S. are assembled in China, and without the exemption, industry experts say American retail prices could have surged toward $2,000 per unit.

Analysts see the move as a strategic retreat to avoid politically damaging consumer backlash— and a tacit acknowledgment of Apple CEO Tim Cook's pivotal role as a behind-the-scenes negotiator in the U.S.-China economic relationship. Cook, uniquely positioned with access to both President Trump and Chinese President Xi Jinping, is seen by some as a potential broker in any future easing of trade tensions.

In total, nearly a quarter of Chinese exports are now exempt from the tariffs, undermining earlier messaging from White House officials that the policy would be non-negotiable. Other major exporters — including Taiwan, Vietnam, Malaysia and Thailand — have also secured sweeping exemptions, despite holding large trade surpluses with the U.S.

After an initial hardline stance, the administration is now offering the largest carve-outs to some of the very nations the tariffs were meant to target. While some Trump supporters maintain that negotiation was the end goal all along, critics see the about-face as blundered strategy.

With the bond market rattled and confidence in the U.S. economy shaken, the Trump administration is likely to face continued negotiations with trade partners and its own policy.