Colombia has walked back from the brink of a damaging trade war with the United States, reaching an agreement on accepting deported migrants being returned on military planes, after a flurry of threats from President Donald Trump that included steep tariffs.

The nations spent much of the day in a tense standoff, with the U.S. president threatening tariffs and visa restrictions after Colombia turned away two deportation flights.

The US is Colombia's biggest export market, but it makes up only 0.5 percent of American imports, ranking as the 26th largest goods importer to the US.

Coffee prices hit a new high Monday, the day after President Donald Trump threatened – and then reversed course on – a 25% tariff on Colombia during a spat about deportation flights from the US. And the price is still rising.