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U.S. tariffs on Mexico to be paused for a month, Trump says (www.reuters.com)

submitted 2 weeks ago* (last edited 2 weeks ago) by [email protected] to c/world

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U.S. President Donald Trump will pause new tariffs on Mexico for one month after Mexico agreed to reinforce its northern border with 10,000 National Guard members to stem the flow of illegal drugs, particularly fentanyl, he said on Monday on social media.

Mexican President Claudia Sheinbaum said the agreement also includes a U.S. commitment to act to prevent trafficking of high-powered weapons to Mexico. The two leaders spoke by phone on Monday, just hours before U.S. tariffs on Mexico, China and Canada were set to take effect.

The two counties will use the month-long pause to engage in further negotiations, Trump said.

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[–] partial_accumen 3 points 2 weeks ago

No business is ok with arbitrarily paying more, even if it is predictable. That’s why they built factories in Mexico in the first place, because it was cheaper.

You stopped reading mid sentence apparently. The rest of my sentence in my post was "businesses are okay with that as long as they know its coming and can plan/make changes." Those changes could be moving manufacturing, scaling different product lines, finding substitutions for what those forecasted more-expensive inputs are, etc. The factories in Mexico a response to a predictable rising labor market in the USA. So yes, manufacturers were okay with paying higher costs in the USA temporarily while the Mexican factories were set up or expanded.

Businesses also aren’t a monolith in their preferences,

True, but they largely follow the same trends. Outliers are outliers by definition.

Amazon would happily take 4 years of chaos if it forces many competitors out of business.

If its a sure thing, probably, but with Musk as President Amazon is just as likely to be hurt by the next 4 years. Musk is no fan of Bezos and Musk has a history of taking personal grudges into business dealings. (see Musk suing his own twitter advertising customers)

Similarly musk/Tesla isn’t ready to compete with other car companies (US, EU, or China) actually trying to make EVs, more chaos on his competition is great for him.

Musk has poisoned the previous good name of Tesla among its customers. Tesla opponents weren't buying Tesla before, and now former Tesla proponents aren't either. He's pissing off the countries governments where he is trying to make inroads, and now handling the reigns of government pissing off future possible customers. There is nothing Musk is doing right now that is helping Tesla. He is only hurting them.