President Donald Trump has agreed to delay tariffs on Mexico for at least a month after Mexican President Claudia Sheinbaum said she would send 10,000 Mexican National Guard members to address drug trafficking on the border.
In her daily address to reporters, Sheinbaum said they talked about their shared interest in reducing fentanyl trafficking into the U.S.
She also said the U.S. agreed to work to stop the flow of firearms from the U.S. into Mexico, many of which are used by cartels.
While Trump’s threat of a 25% tariff on goods coming from Mexico has been delayed, high tariffs on two other important trading partners, Canada and China, could still be in play. Trump said tariffs would start on Tuesday.
A trade war with Mexico could be a blow for both countries’ economies if it happens next month.
Sonora, the Mexican state south of the Arizona border, produces many goods that are shipped into the United States, including produce, cattle and Ford trucks and SUVs. Those suppliers could be forced to pass the cost of tariffs onto consumers, which would increase prices in Arizona and elsewhere in the United States.