US President-elect Donald Trump has issued a stark warning to the BRICS alliance, threatening to impose 100% tariffs on member states if they continue their efforts to reduce dependence on the US dollar in global trade. Through his post on his social media platform, Truth Social, Trump affirmed his firm stance against any attempt to undermine the dollar’s dominance.
“The idea that the BRICS are trying to walk away from the dollar while we stand and watch is over,” Trump declared. He also warned that countries participating in such initiatives would face significant economic repercussions, including losing access to the US economy.
The BRICS bloc – which includes Brazil, Russia, India, China and South Africa – recently expanded its membership, adding Egypt, Ethiopia, Iran, Saudi Arabia and the United Arab Emirates. The group has also explored “de-dollarization” strategies to develop alternative currency frameworks for global transactions.
Trump’s statement highlights the important economic ties between the United States and key members of the BRICS. In 2022, trade between the United States and China reached $758.4 billion, while trade with India reached $191.8 billion. Trump’s threat to impose tariffs represents his second warning this week, underscoring his firm approach to protecting American economic interests.
It is worth noting that Pakistan was among 30 countries that applied for BRICS membership last year.
As the BRICS alliance gains momentum in reshaping global economic frameworks, Trump’s comments point to a potential clash of ideologies in the international financial landscape.