Trump Threatens 100% Tariff on BRICS Nations Over De-Dollarization Efforts
“The idea that the BRICS Countries are trying to move away from the Dollar while we stand by and watch is OVER,” Trump declared.
In a fiery post on Truth Social, President-elect Donald Trump announced plans to impose a 100% tariff on BRICS nations should they shift away from using the U.S. dollar in international trade. The bold statement comes as the BRICS coalition—comprised of Brazil, Russia, India, China, and South Africa—explores the possibility of reducing reliance on the dollar.
“The idea that the BRICS Countries are trying to move away from the Dollar while we stand by and watch is OVER,” Trump declared. “We require a commitment from these Countries that they will neither create a new BRICS Currency nor back any other Currency to replace the mighty U.S. Dollar, or they will face 100% Tariffs.”
Trump added that such nations could “wave goodbye to selling into the wonderful U.S. Economy.”
The Rise of BRICS and De-Dollarization Ambitions
The BRICS alliance first took shape in 2009 with Brazil, Russia, India, and China, with South Africa joining the following year. Recently, the bloc expanded further by welcoming Egypt, Ethiopia, Iran, Saudi Arabia, and the UAE during its 2023 summit.
At the same summit, discussions around “de-dollarization” gained momentum, aiming to reduce the dominance of the U.S. dollar in global trade. However, experts remain skeptical of BRICS’ ability to establish a shared currency due to internal divisions and economic disparities among member states.
Despite these challenges, BRICS nations play a significant role in global trade, with China and India among the largest U.S. trading partners. In 2022, U.S.-China trade totaled $758.4 billion, while U.S.-India trade reached $191.8 billion, according to the Office of the U.S. Trade Representative.
Trump’s Tariff Threats Expand Beyond BRICS
This marks Trump’s second major tariff announcement within the week. Earlier, he proposed a 25% tariff on imports from Mexico and Canada to combat the fentanyl crisis. Additionally, he threatened a 10% tariff on Chinese imports, accusing the country of failing to curb the flow of fentanyl into the U.S.
“I have had many talks with China about the massive amounts of drugs, in particular Fentanyl, being sent into the United States — But to no avail,” Trump stated.
Diplomatic Developments with Canada
Amid these tariff threats, Trump held talks with Canadian Prime Minister Justin Trudeau at Mar-a-Lago. Describing the meeting as “very productive,” Trump emphasized the shared goal of combating the fentanyl epidemic.
“Prime Minister Trudeau has made a commitment to work with us to end this terrible devastation of U.S. families,” Trump said in a follow-up post.
While Trump’s stance has drawn criticism from international observers, his aggressive rhetoric underscores his determination to maintain U.S. economic dominance and address the ongoing drug crisis. The implications of these tariff threats could reshape trade relations and fuel further geopolitical tensions.