The US and Mexico agreed to pause for a month after President Donald Trump and Mexican President Claudia Sheinbaum had a conversation to prevent a trade war.
Sheinbaum announced on Monday that she and Trump had a good conversation and that rates would be postponed for a month.
The American markets began to recover from a drop early on Monday after the delay was announced.
Sheinbaum said Mexico has agreed to send 10,000 members from the National Guard to the border to prevent drug trafficking from Mexico. In exchange, the US has committed itself to work to prevent the actions from weapons to Mexico.
Trump, 78, was planning to draw 25 percent rates on import from Canada and Mexico this week. He is also 10 rates for China imposing after he said for months that he would take action.
His action excludes Canadian energy products that instead have to deal with 10 percent rates.
On Monday he posted on Truth Social that the rates at Mexico would be postponed.
Trump agreed to pause the rates on Mexico for a month after a conversation with Mexican President Claudia Steinbaum on Monday. The president had threatened 25 percent rates for the trading partner from Tuesday
“I just spoke with President Claudia Sheinbaum from Mexico,” he wrote. “It was a very friendly conversation in which she agreed to immediately deliver 10,000 Mexican soldiers to the border that separated Mexico and the United States.”
He wrote that the soldiers' are specifically designated to stop the flow of Fentanyl and illegal migrants to our country.
'We also agreed to immediately pause the expected rates for a period of one month in which we will be negotiations under the leadership of Minister of Foreign Affairs Marco Rubio, secretary of Treasury Scott Bessent, and Minister of Commerce Howard Lutnick and Representatives of High Level, representatives of Mexico, “he continued.
Trump had threatened the rates after they accuse the countries of not doing enough to prevent the flow of fentanyl and illegal immigrants from crossing the line.
The White House said that the rates will stay in place until the 'crisis' is over, but not worked out.
From Monday morning Trump had also been in conversations with Canadian Prime Minister Justin Trudeau, but no agreement had been reached between the two countries.
Trump indicated that the two would speak again on Monday at 3 p.m.
Trump also spoke on Monday with Canadian Prime Minister Justin Trudeau prior to the 25 percent rates that are expected to kick on Tuesday
Canada, Mexico and China amounted to 40 percent of import to the US last year.
Foreign leaders had warned that they will respond at Trump's rates with retaliation actions.
Canada ordered 25 percent rates for American import from Tuesday, including food, drinks, vehicle parts, furniture, clothing and other products.
The first round of retribution rates at $ 30 billion in American goods. Another rating round of $ 125 billion in goods would start within 21 days.
Some Canadian officials are also planning to remove American drink products from the shelves.
As the trade war escalates quickly, some Republican legislators started to express their concern that it will increase prices for Americans throughout the country.
But they still have to indicate whether they would move to stop Trump's efforts.
Former Republican senate leader Mitch McConnell (R-KY) set rates in an interview with 60 minutes at the weekend.
“It will increase the costs of everything,” said McConnell. “In other words, it will be paid by American consumers.”
“I mean, why would you want to argue about this with your allies?” Asked McConnell.
Gop senator Chuck Grassley (R-IIWA) begged Trump to release Potas from radical rates he placed on Monday.
Potas is an important part that is used in fertilizer and the beating of rates would raise prize and harm American farmers who have to import it for their use.
Grassley placed that American family farmers get the most of their potas from Canada, so he 'argues' with Trump to release it.
A higher costs for fertilizer would mean higher costs for farmers, which could therefore lead to increased costs for people who consume their goods consumers.
During Trump's first term, his administration had to save farmers to an amount of billions of dollars after being injured by his trade policy that ensured that agriculture fell.
“Rates are just taxes,” wrote Senator Rand Paul (R-Ky.) In a post on X this weekend. 'Conservatives once united against new taxes. Puriating trade means less trade and higher prices. '
He argued that Republicans won the last elections by complaining that the policy of Democrats led to higher prizes.
