Donald Trump on Monday threatened BRICS countries to take punitive measures if they abandoned the dollar in favor of a rival currency for transactions, APA has learned.
On social media, Mr Trump, who takes office in January after his re-election last month, said his incoming administration would impose 100% tariffs on the nine nations making up the BRics bloc in case they implement their plan to use a rival currency to conduct international trade.
« The idea that the BRICS countries are trying to move away from the dollar while we sit idly by is nonsense “, warned M. Trump.
During his presidential campaign, Mr. Trump promised that serious consequences awaited these emerging economies if they tried to cause a “disruption” in the global reputation of the US dollar as the main international transaction currency.
BRICS has called for the creation of a new currency for the bloc to replace the dollar, although officials in countries like Brazil have put up some resistance to the idea.
Russian officials are not expressly opposed to the idea of an alternative currency to the dollar, if only to upend the international trading system that they say is heavily rigged in favor of the U.S.-led status quo .
Mr. Trump appears to have set a milestone that would commit the BRICS and their allies to refrain from creating a new currency or supporting an existing currency that would pose a challenge to the dollar.
« They will face 100% tariffs and expect to say goodbye to sales in the major US economy “, states Mr. Trump's statement on the social media platform Truth Social unequivocally.
However, many in Mr. Trump's political circle believe that this statement was mere negotiating rhetoric and not a threat to countries whose commitment to the proposed BRICS currency remains, at least. better, shy.
Scott Bessent, candidate for Treasury Secretary in the incoming administration, told the Financial Times that the tariffs threatened by Trump were nothing more than a strategy to begin future negotiations with the BRICS.
The tariffs are a centerpiece of Mr. Trump's economic recovery plan for the United States, which he hopes will increase tax revenues and protect jobs.
WN/as/lb/te/Sf/APA
