US President Donald Trump has said in a social media post that the US will pause the implementation of new 25% tariffs on imports of goods from Mexico. As part of the agreement, Mexico will ‘immediately’ send 10,000 National Guard soldiers to the US-Mexico border to stem the flow of illegal drugs – notably fentanyl – from Mexico into the US.
The agreement also includes a commitment from the US to take action to prevent the trafficking of high-powered weapons from the US to Mexico.
On his Truth Social network, Donald Trump said that the month long pause to enforcing trade tariffs will enable negotiations “headed by Secretary of State Marco Rubio, Secretary of Treasury Scott Bessent, and Secretary of Commerce Howard Lutnick, and high-level Representatives of Mexico.”
“I look forward to participating in those negotiations, with President Sheinbaum, as we attempt to achieve a ‘deal’ between our two countries,” he wrote.
In a post on X, Mexico President Claudia Sheinbaum said that “our teams will begin working today on two fronts: security and trade.”
In a press conference reported by the BBC, Sheinbaum said: “We have this month to work and convince ourselves, among everyone, that this is the best path.”
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The US President has also said that he will speak with Canadian Prime Minister Justin Trudeau later today (Monday 3rd February) head of the planned imposition of 25% import tariffs (10% on energy products) on Canadian goods.
The auto industry is a sector of North America’s economy that is particularly vulnerable to trade disruption and higher costs due to the heavy integration of complex automotive supply chains across the US, Canada and Mexico.
