China has been making exemptions on certain products such as microchips, aerospace parts, and even vaccines, possibly to alleviate the economic impact of the trade war that has been escalating for years. This is not a public announcement from Beijing, rather a discreet move, which smells like a strategy not to appear as if they are conceding too much to Trump's pressure.
This could be a point in favor of Trump, who has been playing hard with tariffs since his first term. If China is conceding, it means that the pressure tactics are working, at least in part, and American companies that export to China (technology and aviation) could see relief in costs, which is an economic victory.
China is probably prioritizing its own economic stability, ensuring that its key industries do not run out of essential components that come from the U.S.
For China, this is a double-edged sword. On one hand, they soften the blow of tariffs and keep their economic machinery running. On the other hand, conceding ground in this trade war could be interpreted as a sign of weakness, something that Jinping does not like at all. Moreover, if this is done on a large scale, they could be opening the door to more pressure from Trump, who is not exactly one to settle for a small victory.
If so, the U.S. wins a round, but China is playing the long game, and what do you think?