Apple disallowed HTTP by default, you can flip a bit in the config to allowlist some/all endpoints to HTTP. Not clear what the App Store actually does when reviewing this info when you submit.
Despite their goal of enforcing in 2017, it is still not a hard requirement. Back then, about 80% of the apps we tested disabled ATS either partially or fully [1]. It’s rare to see Apple walk something back [2], but here is a blog at the time that talked about it [3].