Mexican President Claudia Sheinbaum said on Monday that tariffs with the United States are on hold for a month after a conversation with President Donald Trump in which she committed to putting more law enforcement on the U.S. border to stop the flow of drugs.
"Our teams will start working today in two areas: security and commerce," Sheinbaum wrote in a post on X that announced the pause in tariffs.
Trump ordered the 25% tariffs on all Mexican goods over the weekend, with Mexico saying it would respond with tariffs of its own without detailing on what products.
As part of the agreement on Monday, Sheinbaum said that Mexico will send 10,000 National Guard troops to the U.S. border to stop drugs, particularly fentanyl, from moving into the United States.
The United States, in turn, promised to work to stop the flow of high powered weapons into Mexico from the U.S., she said.
The peso, which had been trading down over 1% against the dollars, reversed course after the announcement and traded in positive territory.
