Mexican leader to visit US border Saturday amid trade row

Mexican President Andres Manuel Lopez Obrador said Thursday he will soon travel to the border city of Tijuana to "defend the dignity" of his nation in the face of US tariff threats, as talks were set to resume in Washington.

Lopez Obrador will make the trip Saturday, two days before US President Donald Trump has threatened to impose five per cent tariffs on all Mexican imports, unless Mexico acts to stem the surge of Central American migrants to the US border.

Negotiators have been meeting in Washington to avert a crisis, but Trump warned late Wednesday "not nearly enough" progress was being made.

Lopez Obrador told reporters at his daily morning news conference that "all options" are under review in the event Trump goes ahead with the tariffs.

"But our posture is to preserve, above all, the friendship with the people of the United States," he said.

The leftist leader called his trip to Tijuana "an act of unity to defend the dignity of Mexico" and to build bridges with America.

"I am optimistic that an agreement will be reached. We have said, dialogue is best," Lopez Obrador said.

The tariffs would be raised by five percent each month until they reach 25 percent, according to Trump, who has brushed off warnings that such a course of action would have major repercussions for both the US and Mexican economy.

Mexican authorities responded to one key US demand Wednesday by blocking the latest US-bound caravan of Central American migrants as it entered Mexico from Guatemala.

Soldiers and police halted hundreds of migrants in the group about 12 kilometers (7.5 miles) from the Guatemalan border.

About 420 migrants were taken to a detention centre, according to immigration authorities, but many others may have fled as some 1,200 people were initially reported in the caravan.

US officials have insisted that Mexico halt the movement of migrants across its southern border, take action against bus lines moving them north, and process asylum requests in its own country.

The numbers of migrants reaching the US-Mexico border has surged, with 144,000 detained or blocked by US authorities in May, up 32 percent from April.

Lopez Obrador has stressed Mexico's willingness to work with the Americans on the problem, striving to avoid a rupture with its northern neighbor and top trading partner.

But Trump has appeared keen to retaliate with punishing tariffs despite unusually vocal opposition from Republican lawmakers.

In a tweet Wednesday, he said "talks with Mexico will resume tomorrow with the understanding that, if no agreement is reached, Tariffs at the 5% level will begin on Monday, with monthly increases as per schedule."