Snapnews.31.01.2025: Former US President Donald Trump has issued a stern warning to BRICS member countries, including India, against attempts to replace the US dollar as the global reserve currency. In a post on TruthSocial, Trump threatened to impose 100% tariffs on these nations if they pursue creating a new currency or back any alternative to the US dollar.
“We will demand a commitment from these seemingly hostile countries that they will not create a new BRICS currency or support any other currency to replace the mighty US dollar. If they do, they will face 100% tariffs.”
He added, “They can go find another sucker nation. There is no chance BRICS will replace the US dollar in international trade or anywhere else. Any country that tries should say hello to tariffs and goodbye to America!”
This threat comes after Trump’s earlier warnings following his victory in the November 2024 US elections. The BRICS bloc, which includes Brazil, Russia, India, China, South Africa, Egypt, Ethiopia, Iran, Indonesia, and the UAE, has been exploring alternatives to the US dollar, especially after Russia faced Western sanctions due to the Ukraine war.
In December 2024, Russia emphasized that forcing BRICS nations to use the dollar would only strengthen the demand for national currencies. However, a 2024 study by the Atlantic Council’s GeoEconomics Center confirmed that the US dollar remains the dominant global reserve currency, with attempts to create alternatives like the euro failing to challenge its position.
Trump has also announced plans to impose 25% tariffs on Canada and Mexico starting February 1, 2025, to curb illegal immigration and the flow of opioids like fentanyl. Additionally, he has threatened a 10% tariff on Chinese imports, citing China’s role as a major fentanyl supplier.
The global push to reduce reliance on the US dollar has gained momentum due to shifting US economic policies, geopolitical crises, and the strong performance of the US economy. However, Trump’s latest threats highlight his administration’s determination to maintain the dollar’s supremacy.
