The new deal still includes funding for a US-Mexico border wall but offers Democrats a few more incentives to come to the table — the biggest inducement being the extension of temporary protections for children of illegal migrants brought into the United States, known as “Dreamers”.
The question is: was it? Here’s what the plan includes and whether it is the “compromise deal” Mr Trump claims it is.
What has been proposed?
In order to get funding for the wall and end the government shutdown, Mr Trump has unveiled a shift in his immigration policy, including:
Three years of deportation relief to about 700,000 undocumented immigrants and 300,000 with temporary protected status
$US800 million ($1.11 billion) in humanitarian assistance along the border
$US805 million ($1.12 billion) in drug-detection technology few thousand extra border agents and law enforcement agents
Central American minors can apply for asylum from their own countries
75 new immigration judge teams to help with backlog of deportation court cases
Mr Trump’s son-in-law and senior aide, Jared Kushner, has led the work on the proposals, three people familiar with White House thinking who were not authorised to speak publicly told the Associated Press.
Some said Mike Pence, White House acting chief of staff Mick Mulvaney and Homeland Security Secretary Kirstjen Nielsen were also involved.
Donald Trump walks into a room at the White House before giving an address to media
Is it a compromise?
The White House may have billed the announcement as a major step forward, but Mr Trump still held firm on his $US5.7 billion ($7.9 billion) demand for the wall.
And on the issue of the Dreamers, he offered to temporarily roll-back some of his own immigration actions — which have since been blocked by federal courts.
Nancy Pelosi raises her hand, while Steny Hoyer, Chuck Schumer and Dick Durbin stand behind her. They are faced by the media.
Democrats concluded it wasn’t really an offer at all.
“It was the President who single-handedly took away DACA and TPS protections in the first place — offering some protections back in exchange for the wall is not a compromise but more hostage taking,” Senate Minority Leader Chuck Schumer said in a statement released on Twitter.
Democrats also criticised the proposal because it didn’t seem to offer a permanent solution for immigrants.
They also argued the only way to end the political stalemate is to “open up the Government … so Democrats and Republicans can have a civil discussion and come up with bipartisan solutions”.
Mr Trump’s plan didn’t appear to address this demand and Democrats have made it clear they were not consulted on the new deal either.
However, there did appear to be one concession on the design of the US-Mexico border wall.
When announcing the funding for the border wall would remain, he described it as strategic deployment of “physical barriers or a wall”.
“This is not a 2000-mile (3,218 kilometre) concrete structure from sea to shining sea. These are steel barriers in high priority locations,” he added.
Although this compromise had been in the works some time before Mr Trump’s speech and does little to encourage Democrats to make a deal, since they strongly oppose any funding for a wall.
Will the US government shutdown end soon?
That remains unclear, but with Democrats seeming to reject the new deal there is a possibility this stalemate will last some time longer.
If it continues, Mr Mulvaney has insisted that declaring a national emergency to circumvent Congress — which Trump has threatened to do — still remains on the table, but added that the “best way to fix this is through legislation”.
So what happens now?
Mr Trump said Senate Majority Leader Mitch McConnell would bring the legislation to a vote this week.
It’s a turnaround from Senator McConnel’s previous statement that no vote should be held in the Senate until Mr Trump and Democrats’ agreed on a bill.
But it seems very likely that the Democrats will block it.