“Go Find Another Sucker Nation”: Trump Warns BRICS Against Dollar Move

On Friday, US President Donald Trump cautioned BRICS countries, threatening to impose 100 percent tariffs on their exports if they try to supplant the US dollar as the leading currency in global trade.

Trump has consistently voiced his opposition to de-dollarisation, cautioning that BRICS nations need to uphold the US dollar’s position in international trade to avoid economic repercussions.

“The idea that the BRICS Countries are trying to move away from the Dollar, while we stand by and watch, is OVER,” Trump wrote. “We are going to require a commitment from these seemingly hostile Countries 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% Tariffs, and should expect to say goodbye to selling into the wonderful US Economy. They can go find another sucker Nation. There is no chance that BRICS will replace the US Dollar in International Trade, or anywhere else, and any Country that tries should say hello to Tariffs, and goodbye to America!”

His post closely resembles the one he shared on November 30, weeks following his victory in the 2024 presidential election.

The BRICS nations – Brazil, Russia, India, China, and South Africa – have been exploring methods to lessen dependence on the US dollar for many years. The economic cooperation among BRICS nations has only grown stronger since Western sanctions were placed on Russia after its invasion of Ukraine. In recent times, BRICS has grown to incorporate Egypt, Ethiopia, Indonesia, Iran, and the UAE.

Although BRICS lacks a shared currency, its members have encouraged trade using their local currencies. During the 15th BRICS Summit in 2023, Russian President Vladimir Putin clearly advocated for de-dollarisation, asserting that BRICS countries “should increase transactions in local currencies and strengthen collaboration among banks.”

The initiative gained additional traction at the June 2024 BRICS foreign ministers’ meeting in Russia, where member nations promoted the use of local currencies in both bilateral and multilateral trade.

Although there are worries about de-dollarisation, the US dollar continues to be the leading reserve currency globally. Research from the Atlantic Council’s GeoEconomics Center conducted last year revealed that neither the euro nor BRICS countries had effectively diminished global dependence on the dollar.

Trump’s warnings arise as he strives to uphold this supremacy. His application of tariffs as a tool for leverage is not innovative. The 78-year-old’s warnings towards BRICS come after his recent efforts to enforce tariffs on Canada and Mexico, the United States’ biggest trading partners. Trump has claimed that these tariffs are essential for fighting illegal immigration and drug smuggling, especially fentanyl, into the US.

Throughout his campaign, Trump labeled India a “major abuser” of trade practices and has now directed similar comments at other BRICS nations. He has contended that raising tariffs on foreign nations can reduce taxes for American companies and employees, restoring factories to the US. This method, however, has encountered doubt. Economists caution that tariffs might increase expenses for American consumers and companies, especially in sectors dependent on imported raw goods.