Trump Threatens BRICS Countries With 100% Tariff If They Replace Dollar

US President-elect Donald Trump has increased tensions with the BRICS bloc by threatening to put 100% taxes on imports from member countries if they create a new currency to compete with the US dollar.

On Saturday, November 30, Trump stated on his Truth Social platform, “The idea that the BRICS Countries are trying to move away from the Dollar while we stand by and watch is OVER.”

The BRICS alliance, which began with Brazil, Russia, India, China, and South Africa, has lately extended to include Iran, Saudi Arabia, the United Arab Emirates, Argentina, Egypt, and Ethiopia. The group has been vociferous about reducing its reliance on the US dollar, with some members, especially Russia and China, lobbying for a BRICS-backed currency as a replacement global reserve currency.

Trump emphasized the US’s firm stance on the matter, stating, “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.”

This rhetoric comes amid Trump’s broader plans to impose hefty tariffs on key trading partners. In recent weeks, he has also threatened to impose 25% tariffs on imports from Canada and Mexico, as well as an additional 10% on Chinese goods, citing issues such as illegal migration and drug trafficking. These measures have already sparked a diplomatic response, with Canadian Prime Minister Justin Trudeau visiting Trump’s Mar-a-Lago estate to discuss the situation.

The BRICS countries have long been dissatisfied with the US dollar’s dominance in global trade, with Russian President Vladimir Putin accusing Western powers of “weaponizing” the currency. Speaking at a BRICS summit in October, Putin claimed that US sanctions against Russia had damaged trust in the currency.

The possibility of a BRICS currency was explicitly explored at last year’s summit in South Africa, with member countries arguing for a financial system less reliant on Western influence.

Trump’s tariff threats underline his hardline trade policy, which was a key component of his campaign in the recent US election. His resounding victory has strengthened his determination to reshape the global trade landscape and safeguard the “mighty US dollar.”

As Trump prepares to take office, the global economic community is closely watching to see if his warnings come true and how the BRICS nations and other trading partners respond.