Speaking live today, US President Donald Trump threatened a potential trade war as he reinforced his 100% tariff threat to the BRICS alliance. Indeed, Trump spoke on the implications of their continued efforts to de-dollarize and settle trade in local currencies.

The threat mirrors similar sentiments Trump made throughout his campaign or reelection last year. Indeed, he had already threatened that BRICS would be subject to import taxes if they continued to encourage global trade to be settled outside of the greenback. Now, he has once again reaffirmed those impending consequences.

Also Read: BRICS: US Trade War, Tariffs Has Global Markets Preparing For The Worst

Trump Issues 100% Tariff Warnings to BRICS, “If They Want to Play Games With the Dollar.”

Last year, Donald Trump spoke adamantly about the importance of keeping the US dollar as the world’s currency. As he campaigned for reelection, he warned de-dollarization nations would be subject to trade tariffs. Moreover, he notes that the greenback losing its global reserve status would be akin to the nation losing a war.

Thursday saw the US President stand firm by that promise of action to de-dollarizing countries. Specifically, Trump threatened a trade war, warning that BRICS nations would face 100% tariffs if they continued the promotion of local currencies in their trade settlements.

Xi Jinping and Donald Trump
Source: BBC

Also Read: BRICS: Is Donald Trump’s Plan to Save the US Dollar Working?

Speaking to the media, Trump said he would levy the import taxes “if they want to play games with the dollar,” according to a Reuters report. “If any trading gets through, it’ll be 100% tariff, at least,” he added. Moreover, the statement was made as the President announced the arrival of reciprocal tariffs.

He committed to the ongoing push for balanced trade, introducing taxes to answer what he has called unfair trade practices. “The United States is one of the most open economies in the world, yet our trading partners keep their markets closed to our exports,” he said. “This lack of reciprocity is unfair and contributes to our large and persistent annual trade deficit.”

The “Fair and Reciprocial Plan” was signed as an executive action Thursday. For the BRICS alliance, they have continued to ensure that there is no native currency in development. However, they do note that they will continue to lessen reliance on the US dollar to promote equality in global economics.

  • BRICS
  • Donald Trump
  • US DOLLAR