U.S. businesses wary of Trump's border threat to Mexico

Trump says he'll slap tariffs on Mexico if it doesn't stop flow of drugs and migrants

Since the threat, Mexico has been "absolutely terrific", Trump said.

Visiting the US-Mexico border in Calexico, California, President Donald Trump declared America "full" and repeated that illegal crossings constituted an emergency, vowing to send more troops to the border and build the wall. Our area is full.

"We are confident that this misguided attempt to politicize the administration of the tax laws will not succeed", he said. We can't take you. "I'm sorry, turn around, that's the way it is".

One person familiar with the president's thinking said that Mr. Trump believed that Mr. Vitiello did not favor closing the border, as the president had proposed before backing off that threat this week.

The idea caused alarm among economists and Congress, including in Trump's Republican Party. "Apprehending people by the thousands and bringing them back to their countries". "That's what we ask for and that's what was provided", the top United States official said.

Trump warned last Friday that he would close the US border with Mexico this week unless Mexico took action to help stop the flow of illegal migrants across the frontier.

"If you look at our southern border, the number of people and the amount of drugs, human trafficking - the human trafficking is something that nobody used to talk about, I talk about it".

Before touring a just completed nine-metre-tall, 3.5 kilometre barrier at Calexico, Mr Trump said more military resources would be dispatched to the border.

That's an apparent mirage as Trump retreats from his latest threat to seal off the USA from Mexico. The new trade pact is now awaiting congressional approval.

Trump visited the California border city of Calexico, where he toured a section of the new border wall being constructed. Mexico's apprehensions of foreigners have not surged. Longtime border official Ron Vitiello appeared to be cruising toward confirmation, but Trump said Friday that he wanted to go in a "tougher direction".

"So if we change the laws it would be very easy". He noted that his administration moved a week ago to cut foreign assistance to the three so-called "Northern Triangle" countries in Central America.

Speaking without notes, full of digressions and often failing to finish sentences, Trump was not wholly clear on the details of his border policy changes.

"Mexico understands that we're going to close the border, or I'm going to tariff the cars". "Over 100,00 Americans die each year, sooo many families destroyed!" the president tweeted.

Tensions are rising, fingers are pointing and the search for solutions is becoming increasingly fraught. Mexico is the third largest USA trading partner and any hold ups at the border crossings would have an immediate impact on trade.

The tariffs, he suggested, would make a border closure unnecessary.

The President said that his administration has made progress in its push to dub the border situation as "an absolute emergency".

White House press secretary Sarah Sanders and acting White House Chief of Staff Mick Mulvaney listen as President Donald Trump speaks during a meeting with NATO Secretary General Jens Stoltenberg in the Cabinet Room of the White House, Tuesday, April 2, 2019, in Washington.

Car-makers and farmers, who have already been hit by Trump's trade war with China, would suffer.

The US Canada and Mexico previous year concluded a revision of the North American Free Trade Agreement that would limit US auto tariffs against Mexico.

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