The White House says President Donald Trump has a "buffet of options" on how to get Mexico to pay for the wall he wants to build along the U.S.-Mexican border.
Earlier Thursday, White House Press Secretary Sean Spicer told reporters Trump wanted to slap a 20 percent tax on all imports from Mexico. He said the new tax would raise $10 billion a year and "easily pay for the wall." He also said the president discussed the idea with congressional leaders and wanted to include the measure in a comprehensive tax reform package that Congress would have to approve.
But later, the White House said the idea is just one of several options on the table for paying for a wall along the southern border. And it said Trump has yet to make a final decision about how the U.S. will recoup the costs of his proposed border wall.
U.S. taxpayers initially would foot the bill for the wall, which is expected to cost as much as $15 billion.
It is unclear what retaliatory steps Mexico could take if the border tax is approved, because exports to the U.S. are essential to the Mexican economy.
Earlier Thursday, Mexican President Enrique Peña Nieto cancelled next week's meeting with Trump in Washington after Trump said the talks should be called off if Mexico keeps insisting it will not pay for the wall.