Trump reiterates threat of 10% tariff on BRICS nations

On July 18, US President Donald Trump once again threatened to impose a 10% tariff on imports from countries aligned with the BRICS group, warning that the bloc would not last long if it ever coalesced into a significant global force.

"When I heard about this group from BRICS, six countries, basically, I hit them very, very hard. And if they ever really form in a meaningful way, it will end very quickly," Trump said during a televised address, though he did not specify any countries by name. "We can never let anyone play games with us."

Trump’s latest comments come after he first floated the idea of a 10% tariff on July 6, targeting nations he claims are aligning with what he describes as "anti-American policies" promoted by BRICS. The president insists the US will not tolerate any threat to its economic position or the dominance of the dollar.

He also pledged to defend the dollar’s standing as the world’s primary reserve currency and voiced strong opposition to the idea of introducing a central bank digital currency (CBDC) in the United States. “We can never let anyone play games with us,” he emphasised.

Trump has claimed that the BRICS group was established with the goal of undermining the US and the global role of the dollar. In contrast, leaders of the BRICS nations have rejected such assertions, maintaining that the bloc is not anti-American.

Although Brazil had previously floated the idea of a shared currency for BRICS members, that proposal was shelved earlier this year during its rotating presidency. Still, the group is pressing ahead with plans for a new cross-border financial system, BRICS Pay, intended to ease trade and settlement in local currencies.

The BRICS bloc, which originally included Brazil, Russia, India, China, and South Africa, has recently expanded to welcome additional members, including Iran and Indonesia. At the group’s most recent summit in Brazil, leaders delivered indirect criticism of US foreign and economic policy.

Trump has also directed specific measures against Brazil, announcing a 50% tariff on its exports to the US starting in August. In addition, his administration has launched an investigation into what it calls Brazil’s “unfair” trade practices.

By Tamilla Hasanova