Trump Reiterates Tariff Threat Against BRICS Over Dollar Replacement Plans
US President Donald Trump has once again warned that he will impose 100% tariffs on BRICS nations if they proceed with plans to develop a currency to replace the US dollar as the world’s primary reserve currency. The warning, issued on Thursday, also included threats to impose tariffs on Canada and Mexico if they fail to take stronger action against illegal immigration to the United States.
This is not the first time Trump has raised this concern. Back in December, even before his official inauguration, he tweeted a similar warning, saying:
“The idea that the BRICS Countries are trying to move away from the Dollar while we stand by and watch is OVER. 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, and should expect to say goodbye to selling into the wonderful U.S. Economy. They can go find another ‘sucker!’ There is no chance that the BRICS will replace the U.S. Dollar in International Trade, and any Country that tries should wave goodbye to America.”
BRICS, which stands for Brazil, Russia, India, China, and South Africa, was formed in 2009 as a counterbalance to the influence of the US and its western allies. With the recent addition of Egypt, the United Arab Emirates, Ethiopia, Iran, and Indonesia, the group now includes eleven nations.
The BRICS bloc has been exploring the creation of an alternative reserve currency, a conversation that gained momentum particularly after the West imposed sanctions on Russia due to its actions in Ukraine. Despite this, the US dollar remains the dominant global currency, a position that Trump has shown strong commitment to defending.
Also Read: BRICS and the potential benefits for Nigeria
Notably, Nigeria, Africa’s largest economy, officially became a partner country in BRICS on January 18, but it is unclear how Trump’s tariffs might influence future countries wishing to join the group. His threats could discourage other nations from aligning themselves with the bloc, potentially hindering BRICS’ plans to further challenge the dollar’s dominance.
