Source: BBC

Mexico and US Agree to Temporary Tariff Suspension Following Sheinbaum-Trump Call.

In a major diplomatic move, U.S. President Donald Trump and Mexican President Claudia Sheinbaum have agreed to temporarily halt a planned 25% tariff on Mexican imports for one month.

The decision came after a phone call between the two leaders, aimed at improving economic ties and tackling shared security concerns.

As part of the deal, Mexico will deploy 10,000 National Guard troops to its northern border to curb fentanyl trafficking and illegal immigration into the U.S. In return, the U.S. has pledged to crack down on the smuggling of high-powered weapons into Mexico.

Both nations have also committed to forming working groups focused on migration, security, and trade to find lasting solutions to these issues.

This pause in tariffs allows time for more in-depth negotiations between the two governments, led by top U.S. officials from the State, Treasury, and Commerce departments.

The goal is to reach a broader agreement that balances the concerns of both countries. The decision also comes amid President Trump’s recent tariffs on Canada and China, which have sparked fears about potential economic fallout, including job losses and slower growth.

The U.S.-Mexico agreement was reached just in time, as the tariffs were about to take effect. Meanwhile, talks with Canada are ongoing as both sides try to resolve their own trade disputes.

Canadian Prime Minister Justin Trudeau has warned that higher tariffs could lead to job losses and rising costs for consumers.

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