European leaders were bracing for U.S. tariffs after sweeping levies imposed by U.S. President Donald Trump, affecting billions of dollars in trade between Mexico, China and Canada, roiled global markets and currencies.

The last-minute deal had echoes of Trump's first administration, when he threatened Mexico with tariffs and Sheinbaum's predecessor Andrés Manuel López Obrador defused the threat, sending thousands of troops under his newly created National Guard to deter migrants from crossing the border.