D.C., Washington BRICS is an “attack” on the U.S. dollar, according to President Donald Trump, who said Tuesday that nations are leaving the organisation after he vowed to impose tariffs on those that tried to undermine the dominance of the U.S. dollar. Trump underlined the strategic benefit that countries derive from dealing in dollars and reaffirmed his opposition to any attempt to weaken the currency while speaking with Argentine President Javier Milei during a bilateral lunch.
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Trump Links BRICS to Threats Against the Dollar
Trump said “Anybody who wants to deal in the dollar is at a greater advantage than those who do not,” when asked about the US currency. His success in the 2024 presidential election, he claimed, was responsible for the dollar’s continuing dominance, contending that the global currency hierarchy might have changed in its absence.
Trump turned to BRICS, which stands for Brazil, Russia, India, China, and South Africa, as well as more recent additions Egypt, Ethiopia, the United Arab Emirates, Iran, and Indonesia. He presented the bloc’s talks on a new currency as a direct challenge to American financial hegemony.
Trump claimed that “BRICS was an attack on the dollar.” “Anyone who wants to join BRICS is welcome, but we’re going to impose tariffs on your country,” I said. Everyone left. They no longer discuss it at all.
A recurring theme in Trump’s foreign policy is the use of tariffs as leverage over nations looking for alternatives while maintaining the dollar’s position as the world’s main reserve currency.
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The Origins and Evolution of BRICS
Brazil, Russia, India, and China, or the BRICS bloc, was established in 2009 as an unofficial alliance of developing nations looking to work together on financial and economic issues. South Africa became a member of BRICS a year later.
In the last two years, the bloc has grown even more, with Indonesia joining in early 2025 and Egypt, Ethiopia, the United Arab Emirates, and Iran entering in 2023. A shared BRICS currency for intra-bloc transactions is one of the ideas the organisation has proposed to lessen reliance on the US dollar for trade.
Supporters of this so-called de-dollarization effort contend that it would expand payment options and lessen vulnerabilities associated with dollar swings, but it has been a contentious proposition. But it is seen by some, especially the Trump administration, as a danger to the stability of the world economy.
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Trump’s Consistent Opposition to De-Dollarisation
Trump has regularly threatened to impose 100% taxes on goods from BRICS countries if they try to replace the dollar. This position, which predates his administration, reflects his larger strategy of fusing forceful foreign policy with economic nationalism.
Shortly after assuming office in January, Trump called on the BRICS to promise not to issue a new currency. He aimed to preserve dollar dominance and safeguard American trade by threatening punitive actions.
Trump views it as an existential economic crisis for the United States, despite the fact that some view it as a political initiative, according to Reuters experts.
According to a 2024 assessment by the Atlantic Council’s GeoEconomics Centre, neither the eurozone nor BRICS posed a serious threat to the dollar’s position as the primary reserve currency.
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BRICS’ Push for Financial Autonomy
In 2023, Brazilian President Luiz Inácio Lula da Silva originally suggested a BRICS currency as a way to lessen the bloc’s reliance on changes in the value of the US dollar. Lula referred to a BRICS currency as a tool for more financial independence and contended that nations shouldn’t be compelled to conduct all of their business in US dollars.
This program gathered momentum in the wake of world events like Russia’s invasion of Ukraine and the Federal Reserve’s rapid interest rate hikes in 2022, which increased the cost of imports and debt denominated in dollars for a number of emerging economies.
Experts stress that despite these talks, a BRICS currency would primarily remain political and symbolic, lacking the support and agreement to compete with the dollar globally.
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Trump’s Ongoing Tariff Campaign
Trump has responded to perceived anti-American measures by broadening his tariff agenda. Threatening that there would be no exceptions, he imposed a 10% tax on nations that support the “Anti-American policies of BRICS” in July.
Trump has already warned about de-dollarization and trade independence within BRICS, and the administration has not provided a clear definition of “anti-American policies.”
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India’s Position on the Dollar
India, a founding member of the BRICS, has stated openly that it is not interested in the US dollar depreciating. While BRICS talks on financial transactions, New Delhi acknowledges the dollar’s importance to global economic stability, External Affairs Minister S. Jaishankar stressed in December 2024.
India has never supported the de-dollarization movement. Washington continues to be India’s biggest trading partner, Jaishankar stated, adding that there is presently no suggestion for a BRICS currency.
Reiterating that the U.S. foreign policy shift under Trump was “expected” and might even be advantageous for India, Jaishankar stated in March 2025 that Trump’s policies were advancing global multipolarity without endangering India’s economic interests.
Additionally, he emphasised that the BRICS countries do not share a common stance on how to replace the dollar, indicating that most of the recommendations for other currencies are exploratory rather than practical.
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Geopolitical Implications of Trump’s Statements
Trump’s remarks regarding the dollar and BRICS show how his geopolitical and economic policies are intricately linked. He puts the United States in a position to use trade talks and tariffs to preserve power by portraying the bloc’s currency talks as a threat.
Although Trump’s warnings might discourage some nations from seeking a BRICS currency, experts point out that emerging economies continue to argue over the fundamental problem of dollar dominance.
A geopolitical specialist stated that the U.S. dollar remains the cornerstone of global trade. “Trump’s aggressive strategy highlights the strategic importance of the U.S. currency.”
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The Future of BRICS and Global Finance
The future stability of the BRICS bloc has come under scrutiny since it was expanded to include nations like Egypt, Iran, and Indonesia. Although there are theoretical plans for a single currency, internal conflicts and pressure from the US may prevent them from being implemented.
Trump uses his public remarks as a warning and a tactical cue. They remind members of BRICS that the US can maintain its dominance in global finance and enforce economic agendas through trade leverage.
India and other moderate members continue to prioritise economic cooperation and stability above openly opposing the dollar. “Our priority is to work with the United States and strengthen the international financial system,” stated Jaishankar.
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Conclusion:
The statements made by President Trump during his meeting with President Javier Milei of Argentina highlight the continuation of his economic nationalism program. He emphasises the importance of the US dollar in international trade and sends a message that the administration would not accept competition from new blocs by portraying the BRICS talks as an assault on the dollar.
The development of a single BRICS currency is unlikely in the foreseeable future due to a combination of internal member disputes, tariffs, and political pressure from the United States, even as BRICS continues to investigate financial alternatives.
Trump’s warnings serve as a reminder to the US that dollar supremacy is still a pillar of American economic strength and that economic leverage is still a vital instrument for preserving global influence.