President Donald Trump has threatened to impose a stiff tariff on Mexican goods if Mexico does not implement controls to hamper the flow of migrants from Central America to the United States.
And it appears the threat might be making progress.
What are the details?
Mexican President Andres Manuel López Obrador hinted over the weekend that he is prepared to "tighten migration controls" and reach a deal with Trump to prevent the tariff implementation, Reuters reported.
Mexican officials will begin negotiations with the Trump administration in Washington, D.C., this week. López Obrador said he expects "good results."
"We're doing all we can to reach a deal through dialogue," he said, according to Reuters. "We're not going to get into a trade war, a war of tariffs and of taxes."
"The main thing is to inform about what we're already doing on the migration issue, and if it's necessary to reinforce these measures without violating human rights, we could be prepared to reach that deal," he explained.
What is the Trump administration planning?
The president said he will implement a 5 percent tariff on Mexican goods "unless and until Mexico substantially stops the illegal inflow of aliens coming through its territory."
The tariff would go into effect on June 10. If Mexico does not take effective action, the tariff will increase by 5 percent each month until it hits a crippling 25 percent on Oct. 1.
The administration said the tariff will only be removed "if the illegal migration crisis is alleviated through effective actions taken by Mexico, to be determined in our sole discretion and judgment."
Ahead of negotiations with Mexican officials, Trump said over the weekend that he wants "action, not talk."