As geopolitical tensions rise, both the West and the global South have shown no desire to relent in their positions. Indeed, a recent BRICS statement regarding the 2025 summit has pushed further de-dollarization despite US President Donald Trump’s most recent tariff warning.
This week, Trump once again reiterated his strong message to the economic alliance. Specifically, he noted that any effort to continue trading outside of the US dollar would result in 100% tariffs on the alliance. Despite this, the BRICS 2025 chairmanship holder, Brazil, has continued to discuss the need for economic reform on a global scale.
Also Read: BRICS: US Trade War, Tariffs Has Global Markets Preparing For The Worst
BRICS Remain Committed to De-Dollarization as Trump’s Threats Persist
The geopolitical arena is observing a standoff that could result in an eventual trade war. Throughout last year, Donald Trump has championed the importance of the US dollar’s status as the world’s currency. Specifically, he noted that if the greenback was no longer a global reserve asset, it would be akin to the nation losing a war.
That led him to combat the growing BRICS alliance. Specifically, he went after the group for discussions they’d had in creating an alternate trade currency for the collective. He warned of increased import taxes that would threaten their potential to benefit the economy from the US if they did not announce they were ceasing the project.
The group would deny the single currency plan but not its efforts to diversify trade settlement currencies. Now, the two have come to a head, as a recent BRICS statement signals further de-dollarization despite Trump’s most recent tariff threats.
Also Read: BRICS: New Nation Rejects De-dollarization Amid Trump Tariffs
Brazil has been elected as the current alliance president in their rotating leadership model. Let one not forget it was Brazil and President De Lula who first championed the idea of ditching the US dollar two years ago. Conversley, in a statement on the 2025 BRICS summit, they included economic and financial reform, according to a Yahoo report.
Specifically, they are seeking reformation of the International Monetary Fund (IFM). More specifically, it is looking to bolster the BRICS New Development Bank (NDB). Known as the BRICS Bank, it has pioneered initiatives to further the use of local currencies in trade.
“US President Donald Trump has voiced anger at the proposal,” the report said. Moreover, it further creates the belief that those tariffs may well be implemented—a move that could have massive implications.
