Trump threatening to impose 100% tariffs on BRICS countries if they undermine the dominance of the US dollar
US President-elect Donald Trump threatened on Saturday to impose 100% tariffs on BRICS countries if they undermine the dominance of the US dollar.
In a post on his Truth Social media platform, Trump addressed the BRICS countries, which include Brazil, Russia, India, China, and South Africa, among others, saying, “We’re asking for a commitment from you not to create an alternative BRICS currency or support any other currency that replaces the great US dollar, or you will face 100% tariffs”.
The statement came after the BRICS summit held last month in Kazan, Russia, where member states discussed ways to boost trade using local currencies instead of the US dollar.
BRICS, which was founded in 2009, has expanded to include countries such as Iran, Egypt and the UAE, and is an alliance that represents a large part of the global economy.
During the Kazan summit, Moscow succeeded in securing a joint declaration encouraging the strengthening of correspondent banking networks among BRICS countries, which would facilitate payments in local currencies.
Russian President Vladimir Putin also noted at the end of the summit that there was little progress in launching an alternative to the SWIFT global financial transfer system.
Trump has stressed that he will pursue a protectionist economic policy, threatening to impose large tariffs on competing or neighboring countries.
He added that if the BRICS countries continue with their plans, they should expect to lose access to the US economy.
“There is no chance for BRICS to replace the US dollar in international trade, and any country that tries will lose its relationship with the United States,” Trump concluded.
