'100% tariff': Trump warns BRICS nations against replacing US Dollar

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US President-elect Donald Trump seen pointing a finger in this undated image.— Reuters/file

US President-elect Donald Trump on Saturday demanded that BRICS nations commit to not creating a new currency or endorsing any alternative to the US dollar, threatening severe tariffs if they do, Reuters reported.

“We require a commitment from these countries that they will neither create a new BRICS currency, nor back any other currency to replace the mighty US dollar or, they will face 100% tariffs, and should expect to say goodbye to selling into the wonderful US economy,” Trump wrote on his Truth Social account.

He added, “They can go find another ‘sucker.’ There is no chance that the BRICS will replace the US dollar in international trade, and any country that tries should wave goodbye to America.”

Brazil and Russia have led discussions about creating a new currency to reduce the US dollar’s dominance, but progress has stalled due to internal disagreements within the BRICS group.

Trump’s remarks are being viewed by some of his allies as part of a negotiation strategy. Republican Senator Ted Cruz defended the use of tariffs, pointing to their effectiveness in previous negotiations. “You look at the threat of tariffs against Mexico and Canada, immediately [it] produced action,” Cruz said on CBS News’ Face the Nation on Sunday.