WASHINGTON: US President-elect Donald Trump has warned of imposing 100% tariffs on BRICS countries if they create a common currency to challenge the US dollar.
His warning was aimed at the BRICS nations, which include Brazil, Russia, India, China, South Africa, Egypt, Ethiopia, Iran, and the UAE. Turkey, Azerbaijan, and Malaysia have also applied for membership, with several other countries expressing interest.
In a post on Truth Social, Trump stated: “We require a commitment from these countries not to create a new BRICS currency or support any currency to replace the US dollar. If they do, they will face 100% tariffs and should expect to lose access to the US market.”
The US dollar is the dominant currency in global trade, comprising around 58% of the world’s foreign exchange reserves, according to the IMF. Despite this, members of the BRICS alliance and other emerging economies are increasingly frustrated with US control over the global financial system. BRICS has been pushing to trade in alternative currencies, challenging the dollar’s hegemony.
