Copyright © HT Digital Streams Limited All rights reserved. The Trump administration is quietly watering down some of the tariffs that underpin the president’s signature economic policies. Summary The administration is considering lifting tariffs on some products not made in the U.S. President Trump in recent weeks has exempted dozens of products from his so-called reciprocal tariffs and offered to cut hundreds more goods from farm products to airplane parts when countries strike trade deals with the U.S. people familiar with administration planning. That idea “emerged over time” within the administration, said Everett Eissenstat, deputy director of the National Economic Council in Trump’s first term. “There is definitely that recognition.” The move comes ahead of a Supreme Court hearing in early November on the reciprocal tariffs — a case that could force the administration to refund many of the charges if it loses in court. The White House, the Commerce Department and the US Trade Representative’s office did not respond to requests for comment. The shift to the reciprocal tariffs reflects the Trump team’s desire to hedge its bets should the court strike down its broad levies, according to people familiar with the administration’s thinking. At the same time, Trump’s team is expanding its use of tariffs based on more established legal authority: Section 232 of the Trade Expansion Act of 1962. Trump has already deployed that law to support tariffs on metals and automobiles, and this month announced a new round of duties aimed at heavy trucks, pharmaceuticals and furniture. On Friday, Trump unveiled his latest action under Section 232, which imposes 25% tariffs on trucks and truck parts, as well as 10% tariffs on buses, effective Nov. 1. As part of that action, Trump also expanded a tariff relief program for automakers, allowing them to apply for credits to partially offset the cost of tariffs 30 for cars and tariffs. 2027. Last month, Trump issued new exemptions for products from gold to LED lights and certain minerals, chemicals and metal products via a list called “Annex II” that includes many products that are or will be covered by the Section 232 tariffs. He also previewed hundreds of possible exemptions to come in the future: The order includes a list of products that can receive no tariffs under trade deals with foreign nations being negotiated by Trump’s team. That list, called “Appendix III,” is aimed at “products that cannot be grown, mined, or naturally produced in the United States,” the order said, such as “certain agricultural products; aircraft and aircraft parts; and non-patented articles for use in pharmaceutical applications.” The September order also allows new authority for the Commerce Department and the US Trade Representative’s office to grant tariff exemptions themselves, without Trump himself issuing executive orders mandating the new carve-outs. The move will help streamline tariff policy, a White House official said, so the administration doesn’t have to issue an executive order for each group of exemptions as it implements more than a dozen trade deals Trump has announced, or reaches new pacts. The administration has already struck trade deals with several trading partners, including major economies such as Japan and the European Union. US Trade Representative Jamieson Greer told Senate Republicans during a luncheon meeting this week that more deals are on the way, Sen. John Kennedy (R., La.), who attended, said. Administration officials led by Commerce Secretary Howard Lutnick have insisted for months that there would be “no exemptions, no exceptions” to Trump’s so-called reciprocal duties, originally announced in April. Lutnick has softened his stance publicly, saying in a late July television appearance that “if you grow something and we don’t grow it, it could come in for zero.” Some protectionist Trump allies say the increase in the so-called Section 232 tariffs will ultimately do more to bring manufacturing back to the US. “Section 232 is the most effective tool.” The Consumer Brands Association, which represents major food manufacturers, sent a letter to the Trump administration in March urging officials to grant exemptions for goods such as coffee, oats, cocoa, spices, tropical fruits and tin mill steel, which is used for lunch cans. Many such goods are included in Annex III and may be eligible for exemptions from countries that enter into trade agreements with US candy giant Hershey, which said in May that it was “engaging with the US government” to seek an exemption for cocoa. Duties on the commodity have added to problems for the Pennsylvania chocolatier, which is also grappling with high prices for its core ingredient, and the company has said it is using every lever at its disposal to change cocoa tariffs. Some food companies said they would raise prices to help offset the rising cost of tariffs. Others try to hold the line. Seafood company Chicken of the Sea, owned by Thai Union Group, said it was working to cap prices for its core canned tuna products despite tariffs on the fish. “It’s very price sensitive,” said Chicken of the Sea President Andy Mecs. Certain tuna products are among the goods now potentially eligible for tariff exemptions. Mecs said exceptions for foods like tuna are especially important as the Trump administration pushes its “Make America Healthy Again” agenda. “There are a lot of healthy food products that are largely imported,” he said. 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