The threat targets nations within the BRICS alliance, including Brazil, Russia, India, China, South Africa, Egypt, Ethiopia, Iran, and the United Arab Emirates.
Trump threatens 100% tariff on BRICS nations over potential anti-dollar currency. In a bold statement, U.S. President-elect Donald Trump has warned that the United States will impose a 100% tariff on goods from BRICS countries if they move forward with creating a new currency aimed at replacing the U.S. dollar.
The threat targets nations within the BRICS alliance, including Brazil, Russia, India, China, South Africa, Egypt, Ethiopia, Iran, and the United Arab Emirates. Countries such as Turkey, Azerbaijan, and Malaysia have shown interest in joining the group.
Trump expressed his position in a post on Truth Social, saying, “We require a commitment from these countries that they will neither create a new BRICS currency nor back any other currency to replace the U.S. dollar. If they proceed with this, they will face 100% tariffs and should expect to say goodbye to selling into the U.S. economy.”
The U.S. dollar has long been the dominant currency in global trade and finance, representing roughly 58% of global foreign exchange reserves, according to the International Monetary Fund (IMF). Key commodities, including oil, are primarily traded in dollars, solidifying the dollar’s central role in international business.
However, the dominance of the U.S. dollar is being increasingly challenged by BRICS and other developing nations, who are growing frustrated with U.S. economic influence. The BRICS nations, with their rising share of global GDP, have shown intent to shift away from the dollar and explore trade in alternative currencies.
Trump’s remarks signal a growing tension between the U.S. and the BRICS bloc as these nations continue to push for financial reforms that could reduce dependence on the U.S. dollar in global markets.
