After a Sunday full of exchanged threats over migrants and tariffs, the US and Colombia have prevented a damaging trade war by reaching an agreement related to a dispute on migrant deportations.

The White House presented it as one of Trump’s first major victories, giving the world an early taste of his strongman approach to foreign affairs.

White House Press Secretary Karoline Leavitt said in a statement that Colombia accepted an agreement that met “all of Trump’s terms” and would take in deported migrants with “unrestricted acceptance”, after the country triggered the dispute by blocking two military flights from the US that were carrying deported migrants.

“We will continue to receive Colombians and Colombian women who return as deportees, guaranteeing them decent conditions as citizens subject to rights,” Colombian Foreign Minister Luis Gilberto Murillo said in a televised address.

CNN reviewed documents showing Colombia had approved the flights, which Colombian President Gustavo Petro disputes. After turning away the flights, he posted on X that he would accept migrants with “dignity and respect” when they were returned in civilian planes.

Trump quickly responded with a barrage of threats. He said he would impose 25% tariffs on all imports and raise them to 50% after a week, ban travel for Colombian citizens, revoke government officials’ visas and suspend the processing of immigrant and non-immigrant visas. Some of these measures are typically reserved for the US’ adversaries or individuals who have committed human rights abuses. Colombia has typically been a US ally, particularly in the fight against drug trafficking, and a key partner in the region.

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Petro then threatened tariffs on US imports. In a social media post, he said he would impose a 25% tariff on US imports to Colombia but followed it with a longer post saying he would impose a 50% tariff.

“I do not shake hands with white enslavers,” Petro wrote on social media to Trump.

However, by that evening, the issue had been resolved. The White house published a statement saying Colombia had agreed to Trump’s terms and would accept all deportations, including those on military aircrafts, “without limitation or delay”.

“Today’s events make clear to the world that America is respected again. President Trump… expects all other nations of the world to fully cooperate in accepting the deportation of their citizens illegally present in the United States,” a White House statement said.

However, the tariffs and sanctions that Trump threatened had been drafted and the plans would be “held in reserve, and not signed, unless Colombia fails to honour this agreement”.

Murillo said Colombia had “overcome the impasse with the US government. We will continue to receive Colombians who return as deportees, guaranteeing them decent conditions as citizens subject to rights.”

According to US Census Bureau data, trade between the US and Colombia reached an estimated $53.5bn (225.61trn pesos) in 2022. The US had a goods and services trade surplus of $3.9bn in 2022. If tariffs are applied to Colombian imports, it would particularly affect coffee, flowers and raw materials.

The threat of wide-ranging tariffs from the US continues to put the world on edge. The conclusion of the dispute with Colombia may embolden the White House to continue using them as a bargaining chip to gain concessions. It also highlights how Trump’s hard line position on migrants has the potential to trigger economic conflicts.