If the BRICS countries undercut the US currency, President-elect Donald Trump has vowed to levy a 100 percent tax.
In reference to the alliance that consists of Brazil, Russia, India, China, South Africa, and others, Trump stated on his Truth Social website, “We require a commitment… that they will neither create a new BRICS Currency, nor back any other Currency to replace the mighty US Dollar or, they will face 100 percent Tariffs.”
The announcement follows a BRICS summit in Kazan, Russia, last month, where the nations talked about strengthening local currencies and increasing non-dollar commerce.
Since its founding in 2009, the BRICS organisation has grown considerably, currently comprising nations like Iran, Egypt, and the United Arab Emirates. The BRICS alliance as a whole contributes a negligible portion of global economic production.
Moscow obtained a joint statement at the October Kazan conference that called for the “strengthening of correspondent banking networks within BRICS and enabling settlements in local currencies in line with BRICS Cross-Border Payments Initiative.”
But at the end of the summit Putin indicated that little progress had been made on launching a possible competitor to the Belgium-based SWIFT financial messaging system.
“As for SWIFT and any alternatives, we have not created and are not creating any alternatives,” Putin told reporters at the end of the summit.
He added: “As for a unified BRICS currency, we are not considering that question at the moment.”
Trump has threatened to impose high tariffs on rivals and neighbours as part of his protectionist agenda.
Trump said that BRICS nations “should expect to say goodbye to selling into the wonderful US Economy” if they carry out their plans.
“They can start looking for another’sucker!'” The US dollar will never be replaced by the BRICS in international trade, so any nation that attempts to do so should bid America farewell.
*
Email *
Website
