Trump backs down from threat to close border with Mexico.

Reuters - US President Donald Trump backed down on Tuesday (2) from threatening to close the country's border with Mexico to combat illegal immigration, amid pressure from companies that feared such a measure could cause chaos in their supply chains.

Last Friday, Trump threatened to close the border this week if Mexico did not act. He repeated the threat on Tuesday, but said he had not yet made a decision: "We'll see what happens in the next few days."

Closing the border could jeopardize millions of legal crossings and billions of dollars in commercial transactions. In recent days, automakers have privately warned the White House that the measure would lead to the shutdown of US car factories within days, as they depend on the rapid delivery of parts manufactured in Mexico.

Trump praised on Tuesday the efforts made by Mexico to curb illegal immigration of Central American citizens at its own southern border.

"Mexico, as you know, as of yesterday began apprehending many people at its southern border coming from Honduras and Guatemala and El Salvador, and they are actually apprehending thousands of people," Trump told reporters.

On Monday, the Mexican government said it would help regulate the flow of Central American migrants crossing its country. It was unclear whether there had been an increase in the number of apprehensions.

"They say they're going to stop them. We'll see. They have the power to stop them, they have the laws to stop them," Trump said.

Trump has made combating illegal immigration from Mexico and Central America a key part of his agenda, but closing one of the world's busiest borders may be too much, even for many of his fellow Republicans.

Senate Republican leader Mitch McConnell joined Democrats in warning Trump against the measure.

"Closing the border would have a potentially catastrophic economic impact on our country, and I hope we don't do that sort of thing," McConnell told reporters in Congress on Tuesday.

A group representing General Motors, Ford Motor, and Fiat Chrysler said in a statement that "any action that disrupts trade at the border would be detrimental to the U.S. economy and, in particular, to the automotive industry."

Dozens of American factories producing vehicles, engines, and auto parts could shut down due to a lack of components within days or weeks of the border closure. The measure would also prevent thousands of vehicles manufactured in Mexico from reaching US dealerships.