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Just last night from Trump’s latest tweet:
“I am pleased to inform you that The United States of America has reached a signed agreement with Mexico. The Tariffs scheduled to be implemented by the U.S. on Monday, against Mexico, are hereby indefinitely suspended. Mexico, in turn, has agreed to take strong measures to……stem the tide of Migration through Mexico, and to our Southern Border. This is being done to greatly reduce, or eliminate, Illegal Immigration coming from Mexico and into the United States. Details of the agreement will be released shortly by the State Department. Thank you!”
Some of the “details” of the agreement from the State Department:
Mexican Enforcement Surge
Mexico will take unprecedented steps to increase enforcement to curb irregular migration, to include the deployment of its National Guard throughout Mexico, giving priority to its southern border. Mexico is also taking decisive action to dismantle human smuggling and trafficking organizations as well as their illicit financial and transportation networks. Additionally, the United States and Mexico commit to strengthen bilateral cooperation, including information sharing and coordinated actions to better protect and secure our common border.
Migrant Protection Protocols
The United States will immediately expand the implementation of the existing Migrant Protection Protocols across its entire Southern Border. This means that those crossing the U.S. Southern Border to seek asylum will be rapidly returned to Mexico where they may await the adjudication of their asylum claims.
In response, Mexico will authorize the entrance of all of those individuals for humanitarian reasons, in compliance with its international obligations, while they await the adjudication of their asylum claims. Mexico will also offer jobs, healthcare and education according to its principles.
The United States commits to work to accelerate the adjudication of asylum claims and to conclude removal proceedings as expeditiously as possible.
Both parties also agree that, in the event the measures adopted do not have the expected results, they will take further actions. Therefore, the United States and Mexico will continue their discussions on the terms of additional understandings to address irregular migrant flows and asylum issues, to be completed and announced within 90 days, if necessary.”
Commentary from Others:
“Mexico successfully avoided the catastrophe of tariffs but will pay a heavy price,” said Duncan Wood, director of the Mexico Institute at the Woodrow Wilson International Center for Scholars in Washington. “Potentially tens of thousands of refugee claimants will have to wait in Mexico while their claims are processed. Mexico will have to house, employ, educate and provide health care for them. This is a huge commitment.”
Chuck Grassley: “No tariffs on Mexico. Mexico came through”
Steve Scales: “Trump has proven those who doubted him wrong by getting Mexico to step up their efforts to help us secure our southern border,” ..“Tonight’s deal made by President Trump also puts us in a better position to make USMCA a reality.”
This is obviously a huge win for President Trump. He puts a huge dent into the illegal flow of immigrants into the country while at the same time avoids a trade war with Mexico that could really hurt the American economy. He also avoids a knockdown breakdown fight with the Chamber of Commerce wing of the Republican party.
For Mexico, this whole turn of events may be better than many of your more conventional commentators realize. As a result of the very serious, intractable and likely unresolvable trade war with China, the number one destination for cheap manufacturing leaving China to go elsewhere has got to be Mexico according to some more thoughtful trade commentators. Now that Mexico has cemented further its economic relationship with America, nowhere else has its geographic access, natural resources and abundance of cheap labor to bring to life that less expensive manufacturing that is going to need to move out of China. Of course, American will also get a manufacturing boost where much of the low tech manufacturing would have headed home anyway, but with our bifurcated trade world on many products, you may see part of the product produced here and part in Mexico.