Trump Warns BRICS Nations Against Dollar Replacement, Threatens 100% Tariffs
Washington DC [US], December 1 : US President-elect Donald Trump on Saturday issued a stern warning to the BRICS nations, including India, threatening 100% tariffs if they pursue plans to replace the US dollar in international trade. Trump demanded a clear commitment from these countries to refrain from creating or supporting any alternative currency.
Taking to the social media platform Truth Social, Trump declared that the US would no longer tolerate efforts to diminish the dollar’s dominance. “The idea that the BRICS Countries are trying to move away from the Dollar while we stand by and watch is OVER,” Trump stated.
He further warned that nations attempting to replace the US dollar would face severe economic repercussions, including losing access to the US market. “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 per cent Tariffs, and should expect to say goodbye to selling into the wonderful U.S. Economy. They can go find another ‘sucker!’”
Trump dismissed any likelihood of the US dollar being replaced in international trade, emphasizing that such attempts would lead to the isolation of the countries involved. “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,” he added.
Trump’s remarks followed Russian President Vladimir Putin’s proposal during the BRICS summit in Kazan in October to create a new investment platform. Putin emphasized the importance of reducing dependence on the US dollar and promoting a low-emission economic model.
“We propose to set up a new investment platform of BRICS,” Putin said during the plenary session. “New BRICS global investment platform to provide financial resources for all countries of the Global South,” he added, as reported by Reuters.
The BRICS group currently operates two financial platforms:
- The New Development Bank (NDB): Based in Shanghai, it mobilizes resources for infrastructure and sustainable development projects in BRICS and other emerging economies.
- The Contingent Reserve Arrangement (CRA): Provides short-term liquidity support for BRICS members via currency swaps to strengthen financial stability.
BRICS, originally comprising Brazil, Russia, India, China, and South Africa, expanded its membership in 2024 to include Egypt, Iran, the UAE, Saudi Arabia, and Ethiopia.
