US President-elect, Donald Trump issued a stern warning on Friday, stating that the BRICS countries could face a 100% tariff if they undermine the US dollar.
Trump made the remarks on his Truth Social platform, demanding a commitment from BRICS nations not to create a new currency or support alternatives to the US dollar.
“We require a commitment… that they will neither create a new BRICS currency nor support any other currency to replace the mighty US dollar, or they will face 100 per cent tariffs,” Trump wrote.
The BRICS group, which includes Brazil, Russia, India, China, South Africa, and others, has been exploring ways to reduce reliance on the US dollar.
At a summit held in Kazan, Russia, in October 2024, the group discussed boosting local currencies and enhancing non-dollar transactions.
The BRICS bloc has expanded since its formation in 2009, now including countries like Iran, Egypt, and the UAE.
Collectively, the member nations represent a significant portion of the world’s economic output.
At the Kazan summit, Russia pushed for the growth of correspondent banking networks within BRICS, advocating for settlements in local currencies.
However, Russian President Vladimir Putin acknowledged that no alternative to the SWIFT financial messaging system was being developed and that discussions on a unified BRICS currency were not currently on the table.
Trump, known for his protectionist policies, has threatened to impose heavy tariffs on countries challenging the US economic dominance.
He warned that if BRICS countries proceed with plans to diminish the role of the US dollar, they would be shut out of the US market.
“They can go find another ‘sucker!’ There is no chance that the BRICS will replace the US dollar in international trade, and any country that tries should wave goodbye to America,” he wrote.
In related news, Nigeria’s spokesperson for the Ministry of Foreign Affairs, Eche Abu-Obe, confirmed that Nigeria had joined BRICS as a partner nation.
Nigeria’s move aligns with Foreign Minister Yusuf Tuggar’s previous announcement in November 2023, expressing the country’s goal to become a full BRICS member within two years, capitalizing on its growing economy and population.
