Donald Trump has been elected as the President of America. He will take office on January 20 next year. Meanwhile, Trump has warned the BRICS countries on Saturday. He told the BRICS countries that if they adopt any other currency instead of the US dollar, then 100% tariff will be imposed on them. Along with the warning, Trump has sought commitment from the nine-member group, which includes India, Russia, China and Brazil.
BRICS was formed in 2009. It is the only major international group of which the United States is not a part. Its other members are South Africa, Iran, Egypt, Ethiopia and the United Arab Emirates. In the last few years, some member countries of BRICS, especially Russia and China, have been looking for an alternative to the US dollar or say that they are creating their own BRICS currency. However, India has not been a part of this move of Russia and China so far.
Trump posted on his social media platform Truth Social, in which he said, ‘The idea that the BRICS countries are trying to move away from the dollar. We need a commitment from these countries that they will neither create a new BRICS currency, nor support any other currency to replace the US dollar. If these countries think of doing so, they will face 100% tariffs.
Trump further said that there is no possibility that BRICS will replace the US dollar in international trade. He said that any country that tries to do so should say goodbye to America. At the summit in South Africa in 2023, the BRICS countries decided to consider the possibility of creating a new common currency. The idea was proposed by Brazilian President Luiz Inacio Lula da Silva.
However, India refused to take any major step in this direction. India says that it is against moving away from the dollar and instead is interested in finding business solutions with its trading partners. External Affairs Minister S Jaishankar said that India has never made its economic or political policy targeting the dollar. However, he admitted that some of India’s trading partners do not have dollars, which makes trade difficult. In such a situation, India has to see whether it should stop trading with these partners or find a way to trade without the dollar.
