President-elect Donald Trump wasted no time making waves on Saturday, issuing a bold warning to the bloc of nations known as BRICS—Brazil, Russia, India, China, South Africa, and their recent additions, Egypt, Ethiopia, Iran, and the UAE. Trump threatened to impose “100% tariffs” on these nations if they attempt to sideline the U.S. dollar in international trade. His message was clear: any effort to replace the dollar with a new BRICS currency would come at a steep cost.
In a fiery post on Truth Social, Trump declared that the days of the U.S. standing idly by while the dollar’s dominance is challenged are over. He demanded a commitment from BRICS countries to abandon any plans for a new currency or risk being locked out of the lucrative U.S. market. Not one to mince words, he called out these nations for what he perceives as their audacity, warning that those who cross the dollar should “wave goodbye to America.” For Trump, the dollar isn’t just a currency—it’s a cornerstone of American influence.
The BRICS bloc has long entertained the idea of dethroning the dollar, especially after U.S. sanctions against Russia following its 2022 invasion of Ukraine. These economic penalties sent a strong message but also prompted countries in the group to reconsider their reliance on the dollar for trade. While discussions of a BRICS currency aren’t new, infighting and logistical hurdles have so far prevented any real progress. Still, the group’s growing momentum appears to have caught Trump’s attention, leading to his latest preemptive strike.
Trump’s tough talk isn’t limited to BRICS, either. He also floated the idea of slapping 25% tariffs on Mexico and Canada, citing the ongoing issues of illegal immigration and drug trafficking across America’s borders. While Trump characterized his recent conversations with Mexican President Claudia Sheinbaum and Canadian Prime Minister Justin Trudeau as productive, the specifics remain unclear. Sheinbaum expressed optimism that a tariff war could be avoided, but it’s anyone’s guess whether that optimism is warranted.
For Trump, these threats are a return to form, echoing his previous stances on trade and border security. His hardline approach reflects his broader philosophy: America comes first, and any challenge to its economic or geopolitical dominance will be met with fierce resistance. Whether this strategy will bolster the dollar’s position or ignite trade tensions remains to be seen, but one thing is certain—Trump’s second term is shaping up to be as confrontational as his first.
