President-elect Trump on Saturday threatened to impose 100% tariffs on countries that try to undervalue the U.S. dollar and warned countries to hold back on efforts to introduce new currencies.
“We demand a commitment from these countries not to create a new BRICS currency or support any other currency to replace the mighty US dollar. We should expect to say goodbye to sales to the U.S. economy,” President Trump posted on Truth Social.
“They can go find another 'duck'!” BRICS has no chance of replacing the US dollar in international trade, and countries that aspire to do so should bid farewell to the US. ”
The nine-member organization known as BRICS began discussions on creating its own monetary system at a summit in Kazan, Russia, in October, where 13 new partner countries were welcomed. .
Leaders of original members Brazil, Russia, India, China and South Africa have spoken openly about plans to create a “unit”, a currency backed by member states and gold reserves.
According to the paper, Chinese President Xi Jinping said that the BRICS group is a “vanguard for advancing global governance reform” and “reforming the international financial structure.” World Economic Report Outlet.
As reported in the article, Bolivia's President Luis Arce claimed that the “shield of BRICS and multipolarity” would protect the new member states from “Western unipolarity and the tyranny of the dollar.”
As the report notes, many of the countries in the union aim to wean themselves from the US dollar, which dominates currency and oil trade. international monetary fund.
However, President Trump has aggressively asserted that there will be no fold during his administration. The former president promised to impose high tariffs on Canada, Mexico, and China in an effort to use fiscal leverage for economic and political stability.
President Biden and other world leaders have opposed this strategy, urging Republicans to rethink their approach. Nevertheless, President Trump said he would implement these unprecedented trade policies from day one.
