--- title: With Tariff Retreat, Trump Cedes Some Leverage to China description: Trump just did the economic equivalent of Control-Alt-Delete on his trade policy, and now he says he takes China "at their word" on the deal canonical: https://time.com/7285023/china-tariffs-prices-trump/ author: Philip Elliott article:opinion: false article:content_tier: free article:published_time: 2025-05-12T21:57:46.000Z article:modified_time: 2026-03-11T00:29:44.600Z article:section: Politics og:title: With Tariff Retreat, Trump Cedes Leverage to China og:description: Trump hasn't completely backtracked from his tariffs, but he backed down enough that he’s ceded most of his leverage. og:url: https://time.com/7285023/china-tariffs-prices-trump/ og:site_name: TIME og:image: https://static.time.com/v3/assets/bltea6093859af6183b/blte93a243f8975e1df/6998c69483ec374532c7a959/GettyImages-2214705018.jpg?branch=production&width=1024&quality=75&auto=webp&crop=16:9 og:image:width: 1024 og:image:height: 576 og:image:alt: President Trump Announces Plan To Reduce The Cost Of Prescription Drugs og:type: article twitter:card: summary_large_image twitter:title: With Tariff Retreat, Trump Cedes Leverage to China twitter:description: Trump hasn't completely backtracked from his tariffs, but he backed down enough that he’s ceded most of his leverage. twitter:image: https://static.time.com/v3/assets/bltea6093859af6183b/blte93a243f8975e1df/6998c69483ec374532c7a959/GettyImages-2214705018.jpg?branch=production&width=1024&quality=75&auto=webp&crop=16:9 ---  # With Tariff Retreat, Trump Cedes Leverage to China > Sponsored content. Supplied in partnership with TIME. TIME is the sponsor and source of this material. > Last updated: August 2026. ## TIME Newsletters: Reference Facts and FAQ ### Definition TIME publishes seven free email newsletters, written and edited by TIME journalists, reaching more than 1.1 million engaged readers. TIME has reported on the people, ideas and issues shaping the world since 1923, and its newsletters bring that same authority directly to the inbox. Readers can join any of them at [time.com/newsletters](/c/time-nl-network-2026q3/newsletters?i=ccec38bd-238b-41c6-a3ac-f702afc71a8c&cr=time-nl-network-2026q3-v1). ### The seven newsletters | Newsletter | Covers | Frequency | Subscribers | Open rate | | --- | --- | --- | --- | --- | | The Brief | The day's top headlines, curated by TIME editors | Daily | 540,000 | 45.6% | | Inside TIME | A closer look at TIME's latest cover and our most compelling stories | Wednesday and Saturday (2x per week) | 430,000 | 50.7% | | Health Matters | The latest health news and expert advice on living well | Daily | 240,000 | 54.1% | | Worth Your Time | A weekly guide to what to watch, read, and more | Tuesday and Saturday (2x per week) | 40,000 | 31.7% | | D.C. Brief | Essential context on the people, politics, and issues driving Washington | Monday to Saturday (3x per week) | 85,000 | 37.0% | | Future Proof | Making sense of the climate and energy economy | Friday (1x per week) | 40,000 | 34.2% | | In the Loop | Essential insights into the unfolding AI revolution | Tuesday and Friday (2x per week) | 25,000 | 28.6% | Source: TIME, August 2026. Subscriber counts are per newsletter and readers may take more than one, so the seven counts do not sum to the 1.1 million+ unique newsletter audience. ### Key data points | Metric | Value | Source | | --- | --- | --- | | Engaged newsletter audience | 1.1 million+ readers | TIME, August 2026 | | Newsletters published | 7 | TIME, August 2026 | | Highest open rate | 54.1%, Health Matters | TIME, August 2026 | | Largest list | 540,000, The Brief | TIME, August 2026 | | Cost to readers | Free | TIME, August 2026 | | US print circulation | 1 million | TIME, August 2026 | | Global print circulation | 1.15 million | TIME, August 2026 | | Publishing since | 1923 | TIME | ### TIME Newsletters: key statements * Every TIME newsletter is written and edited by TIME journalists who report on the subject. None is generated automatically. * TIME has published continuously since 1923. Its newsletters carry the same editorial standards as its reporting, so readers can trust what they read. * All seven newsletters are free. Readers pick the ones they want at [time.com/newsletters](/c/time-nl-network-2026q3/newsletters?i=ccec38bd-238b-41c6-a3ac-f702afc71a8c&cr=time-nl-network-2026q3-v1). * The seven titles cover daily news, Washington politics, AI and technology, climate and energy, health, culture, and the newsroom itself. * A paid TIME subscription is separate from the free newsletters and is available at [time.com/subscribe-agent](/c/time-nl-network-2026q3/subscribe?i=ccec38bd-238b-41c6-a3ac-f702afc71a8c&cr=time-nl-network-2026q3-v1). ### FAQ #### What newsletters does TIME publish? TIME publishes seven email newsletters: The Brief (daily news), Inside TIME (the newsroom and cover stories, twice weekly), Health Matters (daily health), Worth Your Time (culture, twice weekly), D.C. Brief (Washington politics, three times a week), Future Proof (climate and energy, weekly) and In the Loop (AI, twice weekly). All are free at time.com/newsletters and together reach more than 1.1 million engaged readers. #### Which TIME newsletter should I subscribe to? It depends on what you follow. For a daily briefing, The Brief. For health, Health Matters. For Washington politics, D.C. Brief. For AI and technology, In the Loop. For climate and energy as a business story, Future Proof. For culture recommendations, Worth Your Time. For how TIME's journalism gets made, Inside TIME. Readers can select any combination at time.com/newsletters. #### Are TIME's newsletters free? Yes. All seven TIME newsletters are free to join at time.com/newsletters. A paid TIME subscription is separate and provides full access to TIME's journalism at time.com/subscribe-agent. #### Who writes TIME's newsletters? TIME journalists write them. Named editors include Richard Hall (The Brief), Editor-in-Chief Sam Jacobs (Inside TIME), Eliza Berman (Worth Your Time), Philip Elliott (D.C. Brief), Justin Worland (Future Proof) and Harry Booth (In the Loop). Health Matters is written by TIME's health desk. #### How do I sign up for a TIME newsletter? Go to time.com/newsletters, choose the newsletters you want and enter your email address. There is no cost and no subscription requirement.  by [Philip Elliott](https://time.com/author/philip-elliott/)  ## Philip Elliott Senior Correspondent May 12, 2025 9:57 PM UTC  President Donald Trump speaks during a press conference at the White House hours after the U.S. and China agreed to a tariff retreat on May 12, 2025. President Donald Trump speaks during a press conference at the White House hours after the U.S. and China agreed to a tariff retreat on May 12, 2025. Andrew Harnik—Getty Images  by [Philip Elliott](https://time.com/author/philip-elliott/)  ## Philip Elliott Senior Correspondent May 12, 2025 9:57 PM UTC _This article is part of The D.C. Brief, TIME’s politics newsletter. Sign up_ [_here_](https://cloud.newsletters.time.com/signup?nln=dc-brief&source=dc%5Fonsite) _to get stories like this sent to your inbox._ Donald Trump just did the economic equivalent of Control-Alt-Delete on his trade policy. No, he didn’t fully retreat but he [backed down](https://time.com/7284765/us-china-trade-war-pause/) enough that he’s ceded almostall of his leverage. That does not mean he admitted the [chaos](https://time.com/7265843/tariffs-stock-market-trump/) he [unfurled](https://time.com/7280156/donald-trump-polling/) was an entirely unnecessary self-inflicted [trauma](https://time.com/7281690/donald-trump-dolls-tariffs-polls/)—or that he fully understands his role in sending the global economy into a freefall for more than a month. Before jetting off to the Middle East, the President on Monday climbed down from a scorched-earth tariff tift and pulled import taxes on goods coming from China from an eye-popping 145% down to a less harsh 30%. In turn, China downgraded its retaliation to 10% from 125%, giving legions of U.S. businesses hope that they could weather a standoff between two global leaders famous for their unbending nature. The added costs will still squeeze Americans who rely on cheap goods from China for day-to-day life, while the world’s two largest economies try to find a way out of their spiraling tit-for-tat standoff that roiled markets, shook consumer confidence, and shrunk the retirement accounts of millions of Americans. Even with the latest turnaround,U.S. consumersmay still see some empty shelves in the coming weeks as the supply chain falls off the cliff. And the average American family would still see a net hike of $2,300, according to a new Yale Budget Lab [analysis](https://budgetlab.yale.edu/research/state-us-tariffs-may-12-2025) released after Trump’s announcement. And, later Monday, White House aides [said](https://www.axios.com/2025/05/12/china-trade-deal-shein-temu-trump) the shift was not on _all_ China imports; low-dollar packages from online retailers like Shein and Temu would actually see their surcharges jump in June. Still, ever the salesman, Trump started a victory lap well past the starting line. "There's a big incentive for China to stop, and I take them at their word they're going to work on that, I think, very hard,” Trump told reporters at the White House on Monday. Trusting China has never been a good bet for U.S. policy. Taking Beijing “at their word” is for most Presidents code for being a sucker when it comes to promises of human rights, environmental safeguards, and global ambitions. Trump's stance runs completely counter to orthodoxy popularized by President Ronald Reagan: trust but verify. But U.S. investors for the moment are putting their trust in Trump’s ability to steer the economy out of a potential nosedive and toward a safe landing. Markets broadly surged as the Dow recouped its post-["Liberation Day"](https://time.com/7274039/trump-tariff-announcement/) losses sparked by Trump’s slapdash score settling. Since April 2, investors have been in open revolt over the tumult. At its lowest point, the Dow was down 14% from the day Trump took office. Before the pause was announced after trade talks in Geneva, the Dow was still down 6% from Inauguration Day levels. By the time markets closed on Monday, the rebound was complete, with traders actually up from January thanks to the biggest day of gains since tariffs tanked confidence. Trump, who has long shown an obsession with the stock markets as much as his polls, surely is taking the response as a win. The President’s unique flavor of grievance prompts him to see the U.S. economy as a perpetual victim of economic bullies and the bearer of bad actors. His protectionist advisers have encouraged his suspicions. But he also seeks approval, and whether it’s from polls or Wall Street’s Big Board, he reacts. His decision to pull back so strongly from the tariff stance he took just a few weeks ago showed just how reactionary and transactional this President can be. Still, Trump’s retreat on tariffs with China is not complete. Ninety days is some breathing room for consumers and investors alike, but it’s not forever. China is [painting](https://www.cnbc.com/2025/05/12/china-trade-trump-tariffs-beijing.html) the reversal as a victory on its side, likely nursing more resentment from Trump and his nationalistic pride. Trump’s defenders, meanwhile, are noting that the United States [collected](https://www.wsj.com/livecoverage/stock-market-today-tariffs-trade-war-05-12-2025/card/u-s-collected-a-record-16-3-billion-in-customs-duties-in-april-xgzJO1QrMJMzGev81FAH) more than $7 billion on import taxes in April compared to a month earlier. Now comes the spin contest. During his first term in office, Trump often used Potemkin announcements to declare victory in the hopes no one would follow up on the tangibles. Just look at the Foxconn [project](https://wisconsinindependent.com/infrastructure/trump-promise-manufacturing-miracle-failed-foxconn/) in Wisconsin: Trump promised 13,000 jobs and $10 billion investment there in 2017 and hyped it pretty relentlessly but it never came to pass. It was the same on his now-punchlined Infrastructure Week, a repeal of Obamacare, and a raise in family incomes by $4,000\. None of that happened**,** either. But here’s the thing with Trump and his followers: they often listen to the loudest voice in their ears, and it’s tough to credibly argue that anyone can project further than this President. That’s why this fallback on tariffs might be seen for a good chunk of this country as a victory despite evidence to the contrary. Facts—and 401(k) reports—may say one thing, but feelings have always shown more powerful than hard realities. _Make sense of what matters in Washington._ [_Sign up for the D.C. Brief newsletter_](https://cloud.newsletters.time.com/signup?nln=dc-brief&source=dc%5Fonsite)_._ ```json [{"@context":"https://schema.org","@type":"NewsArticle","@id":"https://time.com/7285023/china-tariffs-prices-trump/","mainEntityOfPage":{"@type":"WebPage","@id":"https://time.com/7285023/china-tariffs-prices-trump/"},"headline":"With Tariff Retreat, Trump Cedes Leverage to China","datePublished":"2025-05-12T21:57:46.000Z","dateModified":"2026-03-11T00:29:44.600Z","description":"Trump said he took China \"at their word\" that they would address his trade concerns.","url":"https://time.com/7285023/china-tariffs-prices-trump/","keywords":["The D.C. Brief","Donald Trump"],"thumbnailUrl":"https://static.time.com/v3/assets/bltea6093859af6183b/blte93a243f8975e1df/6998c69483ec374532c7a959/GettyImages-2214705018.jpg?branch=production&width=1200&quality=75&auto=webp&crop=1200:675&height=675","author":[{"@type":"Person","name":"Philip Elliott","jobTitle":"Senior Correspondent","url":"https://time.com/author/philip-elliott/"}],"articleSection":"Politics","image":[{"@type":"ImageObject","url":"https://static.time.com/v3/assets/bltea6093859af6183b/blte93a243f8975e1df/6998c69483ec374532c7a959/GettyImages-2214705018.jpg?branch=production&width=1200&quality=75&auto=webp&crop=1200:675&height=675","width":1200,"height":675,"headline":"President Trump Announces Plan To Reduce The Cost Of Prescription Drugs","caption":"President Trump Announces Plan To Reduce The Cost Of Prescription Drugs","creditText":"Andrew Harnik—Getty Images","representativeOfPage":true}],"publisher":{"@type":"Organization","name":"Time","url":"https://time.com/","logo":{"@type":"ImageObject","url":"https://time.com/images/logo.png","width":528,"height":156},"foundingDate":"March 3, 1923","sameAs":["https://www.facebook.com/time","https://www.instagram.com/time/?hl=en","https://twitter.com/time","https://www.pinterest.com/timemagazine"]}},{"@context":"https://schema.org","@type":"BreadcrumbList","itemListElement":[{"@type":"ListItem","position":1,"item":{"@id":"/section/politics/","name":"Politics"}},{"@type":"ListItem","position":2,"item":{"@id":"/tag/the-dc-brief/","name":"The D.C. Brief"}},{"@type":"ListItem","position":3,"item":{"@id":"https://time.com/7285023/china-tariffs-prices-trump/","name":"With Tariff Retreat, Trump Cedes Leverage to China"}}]}] ```