Trump Warns BRICS Over Dollar Alternative

U.S. President-elect Donald Trump has issued a stern warning to BRICS nations, cautioning them against introducing or supporting an alternative currency to challenge the dominance of the U.S. dollar.

In a statement reported by international agencies, Trump declared that any such move would face “severe consequences,” including a 100% tariff on goods from BRICS countries.

Trump emphasized that the use of a non-dollar currency for trade would jeopardize the offending countries’ access to U.S. markets. He reiterated the centrality of the dollar to global commerce, dismissing any notion of it being replaced or undermined.

The BRICS alliance—comprising Brazil, Russia, India, China, and South Africa—has been exploring ways to reduce dependency on the dollar by trading in their own currencies. Recent expansions of the bloc, including the addition of the UAE, Iran, Egypt, and Ethiopia, have intensified discussions about launching a unified currency for intra-group trade.

The proposed BRICS currency aims to counterbalance the U.S.’s influence over global financial systems, particularly in light of sanctions policies. If successful, the initiative could shift the dynamics of international trade, challenging the dollar’s long-standing position as the world’s reserve currency.

Trump’s strong response underscores his commitment to protecting U.S. economic interests. His rhetoric signals a readiness to confront any challenge to American financial supremacy, raising concerns about escalating trade tensions with some of the world’s largest economies.

As BRICS nations continue to deliberate on their plans, the world is watching closely to see how this potential clash between the established economic order and emerging powers will unfold.