The United States has paused its tariffs on Mexico, just hours before they were set to take effect. The decision, announced by US President Donald Trump and Mexican President Claudia Sheinbaum Pardo, comes as a relief to the tech industry, which was bracing for the impact of the tariffs on its global supply chain.

The pause is a result of agreements reached between the two countries on border security and weapons trafficking. According to Sheinbaum Pardo, Mexico will deploy 10,000 members of the National Guard to its northern border to prevent drug trafficking, particularly fentanyl, into the United States. In return, the US has committed to working to prevent the trafficking of high-powered weapons to Mexico.

The development is significant, given the far-reaching implications of the tariffs on the tech industry. As previously reported, the tariffs would have affected Big Tech companies and their global supply chains, potentially disrupting the production and distribution of goods. The pause provides a temporary reprieve, but the industry remains cautious, awaiting the outcome of further negotiations.

It is unclear whether the pause will have any impact on the planned tariffs against Canada and China, which were announced alongside the Mexico tariffs. The tariffs were cited as a response to fentanyl distribution, and it remains to be seen whether similar agreements can be reached with these countries.

The news comes as a welcome development for automakers, who were bracing for the "massive" impact of the tariffs on their industry. The pause provides a temporary respite, but the industry remains vigilant, aware that the tariffs could still be implemented if negotiations falter.

The ongoing trade tensions have far-reaching implications for the tech industry, and this development is just the latest chapter in the saga. As the situation continues to evolve, one thing is clear: the industry will be watching closely, awaiting the outcome of further negotiations and the potential impact on global trade.

In related news, Canada has announced plans to retaliate against the US with tariffs on American goods, should the tariffs against Canada be implemented. The move is seen as a response to the US tariffs, and highlights the escalating trade tensions between the two countries.

As the situation continues to unfold, The Verge will provide ongoing coverage of the impact of trade policy on the tech industry. Stay tuned for further updates and analysis.