> Phew! A component just for a button. What a twist! I don't think most people are making components for each html element. In fact, I'd say this is pretty redundant and overengineering things in a bad way.

Welcome to the world of web components. This is actually really common, especially in React with css modules - this way you can use your custom button without even having to think about the CSS (or any extra complexity like tooltips and accessibility), even from a common library used across projects.