In a striking statement, President Donald Trump has issued a stern warning to the BRICS nations—Brazil, Russia, India, China, and South Africa—over their increasing efforts to reduce reliance on the U.S. dollar for international trade. Speaking during a recent media appearance, Trump made it clear that if the bloc persists in its moves to de-dollarize, they will face severe consequences, including the imposition of “at least a 100% tariff” on their trade with the United States.
Trump emphasized that his warning should not be misconstrued as a threat, but rather as a firm position on the matter.
"If the BRICS nations want to do that, fine, but we’ll impose at least a 100% tariff on their business with the U.S."
President Donald Trump
The comments come at a time when the BRICS nations are actively exploring alternatives to the U.S. dollar in their trade relations. Amid growing concerns about the dollar’s dominance and its role in geopolitical tensions, the bloc has been discussing the use of local currencies in bilateral trade agreements to reduce their dependency on the greenback.
Trump, however, was quick to counter claims made by former President Joe Biden’s administration, which has suggested that the U.S. may be vulnerable in this situation. According to Trump, the U.S. retains considerable influence over BRICS countries, with the dollar still at the heart of the global financial system.
Despite Trump’s tough stance, analysts believe that BRICS may remain undeterred in its pursuit of de-dollarization. The group’s efforts to forge a more multipolar global trading system and lessen its reliance on the U.S. dollar reflect broader shifts in international finance, with many countries seeking greater economic autonomy.
While Trump’s warning could escalate tensions between the U.S. and BRICS nations, experts argue that such threats may not have the intended effect. As the global financial landscape evolves, the BRICS bloc’s ambitions to expand their coalition and create new trading mechanisms may well continue to gain momentum.
As the situation develops, all eyes will be on how the U.S. responds to these emerging challenges to the dollar’s dominance, and whether the BRICS nations can successfully implement their vision for a less dollar-dependent world.