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By Mihar Dias February 2025
Donald Trump has momentarily shelved his aggressive tariff hike against Mexico after a “very friendly” conversation with President Claudia Sheinbaum.
In exchange, Mexico will deploy 10,000 troops to curb drug trafficking and illegal migration at the border.
It’s a rare moment of Trump opting for negotiation over intimidation—perhaps a sign that even he realises tariffs can backfire on the United States itself and himself.
For years, Trump has wielded tariffs like a blunt instrument, using economic threats to force trade partners into submission.
But history shows that trade wars do not just hurt foreign economies; they also destabilise markets and push costs onto American businesses and consumers and causes hardships for his own country.
Latest stock market dip, triggered by growing tensions with Canada and Mexico, is a reminder of the risks of such aggressive trade policies and repercussions at home
Sheinbaum, meanwhile, played her hand well. She avoided an immediate economic confrontation while demonstrating a commitment to tackling organised crime—an issue that serves both Mexican and U.S. interests.
Unlike some of Trump’s past counterparts, she did.not fold under pressure but found a compromise that lets both leaders claim victory. And Trump immediately claimed victory.
However, this diplomatic reprieve may not last. Trump is already hinting at more tariffs against Canada and even the UK while escalating tensions with South Africa.
His approach remains unpredictable—one moment talking, the next threatening.
For now, this episode shows that diplomacy, not economic coercion, is the more effective ppath. Both sides can take credit for bringing solutions to the satisfaction of both countries.
Whether Trump has learned that lesson or is merely taking a tactical pause remains to be seen.
But even the biggest bullies occasionally recognise that talking works better than shouting. And I do desperately wish he would.
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