Concerns among the U.S. public about soaring prices and the looming threat of recession have deepened.

The U.S. government quietly released information on an official platform over the weekend, granting exemptions from the so-called “reciprocal tariffs” for electronic products such as smartphones, computers and chips.

RELATED:

How Trump’s Tariffs Could Wreak Havoc on North America’s Auto Supply Chains

Unlike the previously high-profile announcements of various tariff hikes, this major news was released late at night over the weekend, with no visible link on the official website, and the document itself was worded in a convoluted manner.

U.S. Customs and Border Protection (CBP) did not publish the information on its official website, but instead released it through an information platform, later confirmed to be one used by U.S. government agencies. The related document showed the release time was 10:36 p.m. EDT on Friday.

White House had not made any public statement on the matter. Subsequent inquiries directed to the White House and CBP also went unanswered. An inconspicuous time, an inconspicuous platform and jargon-filled wording in the official document — this felt like a deliberately low-key information release.

A veteran trade expert privately told Xinhua that the U.S. government’s approach was highly unusual. “This is a very obscure way to announce a massive exemption, worth billions of dollars,” said the expert who required anonymity. “I would like more explicit language to be certain.”

In contrast, the U.S. government made a high-profile announcement of the so-called “reciprocal tariffs” on April 2, with careful staging by the White House, a 50-minute speech by the president and media interviews involving multiple officials. It was a grand affair, yet less than 10 days later, the administration quietly made a major concession.

One obvious reason for this U-turn in policy is the strong opposition to the tariffs from all sectors of American society, which has put immense pressure on the Trump administration.

The so-called “reciprocal tariffs,” calculated arbitrarily based on the trade deficit, have triggered severe volatility in financial markets. When the stock market experienced sharp declines, U.S. Treasury bonds were sold off, highlighting investors’ growing doubts about the role of U.S. Treasuries and the dollar as a “safe haven.”

Furthermore, prominent Republican figures, including Senator Ted Cruz, Senator Rand Paul and former Vice President Mike Pence, have openly criticized the administration’s tariff policy, reflecting a strong wave of opposition spreading across the country.

Concerns among the American public about soaring prices and the looming threat of recession have deepened. Paxton Baker, a resident of Arlington County, Virginia, recently told Xinhua that he worries the tariffs could trigger an economic downturn.

“If people are concerned about pricing, they’re not going to buy as much. If they don’t buy as much, then companies stop manufacturing much, and when they do, they lay off workers because they don’t need this much. So I think, it could be really dark times if it continues down this path,” said Baker.

The latest exemption measures have sparked even greater skepticism. “More exemptions, so the question remains: If tariffs are so great, why so many exemptions?” Former Republican Congressman Joe Walsh asked on the social media platform X.

The New York Times noted that if this significant tariff exemption continues, U.S. tech giants like Apple and Nvidia will largely avoid the punitive tariffs that could have significantly reduced their profits.

Additionally, consumers who have already started stockpiling will be spared from the pressure of sharp price increases on electronic products like smartphones and laptops. Furthermore, these exemptions will help alleviate inflationary pressures, stabilize market expectations, and, to some extent, reduce the risk of an economic recession.

Analysts point out that the manufacturing plants for electronic products such as smartphones and laptops have long been deeply rooted in Asia. Moving these factories back to the United States would take years and would face challenges such as policy uncertainty, high costs and a shortage of skilled workers.

The U.S. government’s “secretive exemption” may reflect that it has shot itself in the foot by rolling out an expansive global tariff agenda.

teleSUR/ JF

Source: Xinhua

EN ESTA NOTA: