His threat was directed at countries in the so-called BRIC alliance, which consists of Brazil, Russia, India, China, South Africa, Egypt, Ethiopia, Iran and the United Arab Emirates.

Summary

Trump has threatened 100% tariffs on BRICS nations (Brazil, Russia, India, China, South Africa, and others) if they pursue de-dollarization efforts, including creating a new currency to challenge the U.S. dollar’s dominance in global trade.

Trump warned these nations could lose access to the U.S. economy.

BRICS members, frustrated by U.S. financial dominance, have explored alternatives, with Russia advocating for a new payment system to bypass sanctions.

Analysts say the dollar’s global reserve status remains secure in the near term despite these challenges.

      • ℍ𝕂-𝟞𝟝@sopuli.xyzEnglish
        11·
        22 days ago

        The RMB has problems with how it is regulated to be a viable reserve and trade currency for most countries.

        Currently the big contenders are the EUR, the GBP and the JPY if I recall it correctly.

          • ℍ𝕂-𝟞𝟝@sopuli.xyzEnglish
            2·
            20 days ago

            https://www.visualcapitalist.com/ranked-the-worlds-top-reserve-currencies-in-2024/

            It’s not just “the dollar”, right now the ranking of reserve currencies is:

            • USD 59%
            • EUR 20%
            • JPY 6%
            • GBP 5%
            • CAD 3%
            • AUD 2%
            • RMB 2%

            I’ll check back again when the RMB reaches like 10%.

            Also, your article is not talking about the RMB as a world reserve, it says BRICS is aiming to create a new currency backed by gold, so essentially a return to the gold standard. One could argue for or against that, maybe it’s better than the dollar if you ask me, but IDK. But adopting that as a national currency would break Chinese manufacturing, as they rely on being able to devalue the RMB to keep doing what they are doing.

            Point is, fuck the USD, but it’s not so simple that we can switch to the RMB and be done with it.

    • macniel@feddit.orgEnglish
      30·
      23 days ago

      Euro, Rupees, Coffee-Dollar. So many possibilities and since the US Dollar isnt tied to Gold anymore any other currency is as valid for global trade. Heck let’s call it credits.

  • dance_ninja@lemmy.worldEnglish
    46·
    23 days ago

    The only reason BRICS has legs is because of the last Trump presidency. His transactional approach to relations makes working with the US less appealing.

  • Windex007@lemmy.worldEnglish
    1061·
    23 days ago

    What has always made the dollar so attractive is the perception of US stability and predictability; the idea that the USA really did want to facilitate truly global trade.

    Trump weaponizing tariffs and otherwise acting like a lunatic (and that the electorate put him in twice) is really shattering to the fundamental rationale for using the USD as the defacto global currency.

    • bitwise@lemmy.caEnglish
      21·
      23 days ago

      Working as intended.

      All while providing an “obvious” foil for the educationally challenged to pretend that he’s trying his best in good faith, when the destruction of US hegemony is entirely his handler’s goal.

      • CitizenKong@lemmy.worldEnglish
        9·
        22 days ago

        Yep, this will go down in the history books as an incredible feat of non-confrontative “silent” warfare by Putin against the entire West. If there are still history books in the future.

        • nova_ad_vitum@lemmy.caEnglish
          5·
          22 days ago

          The money and resources Putin spent on Trump have yielded a far far better return than it could have had he spent it on his own military.

  • blindbunny@lemmy.mlEnglish
    321·
    23 days ago

    Donny’s last trade war lost U.S. steel. What well his tariffs loss look like for Americans?

  • KoboldCoterie@pawb.socialEnglish
    711·
    23 days ago

    It’s like he just learned the word ‘tariff’ and needs to include it in every conversation now to show it off.

  • jubilationtcornpone@sh.itjust.worksEnglish
    371·
    23 days ago

    Translation: “If you guys try to move away from the US Dollar, I’m going to tax the shit out of Americans. That’ll show you.”

    Mickey Mousenomics courtesy of a “very stable genius”.

  • FleetingTit@feddit.orgEnglish
    31·
    22 days ago

    I have never heard this bloc being called “BRIC”. Until recently the members were Brazil, Russia, India, China, and South Africa. BRICS. Why did they lose the S?

  • deadbeef79000@lemmy.nzEnglish
    7·
    22 days ago

    Well he’s only got two sticks and no carrots. At least he’s choosing a stick that pokes Americans in the eye (tariffs) rather than the other stick (CIA backed coups).

  • barsoap@lemm.eeEnglish
    163·
    23 days ago

    Euro overtaking the dollar as reserve currency in 3, 2, 1…

    Thing is: Much of the volume of USD-denominated trade is habit and inertia, it’s a convenient unit of transfer and thus banks keep reserves of it to make transactions with. It took the US blocking a payment from a German customer to a Danish tobacco retailer for banks to switch Euro<->Kroner transactions to not go via USD (Those were Cuban cigars) as standard operating procedure for banks very much involves “don’t fix it if it’s not broken”.

    Thus: The more you stir the pot, the more people want to get away from your complications. On top of being a convenient unit of transfer the Euro is also backed by a similarly-sized economy as the dollar and on top of that much more price stable against that economy: The Fed is perfectly willing to inflate the dollar to influence e.g. employment, while the ECB is committed to price stability, rather telling member states to devalue internally if that’s what’s necessary the prices shall stay the same.