President-elect Donald Trump has threatened to impose 100% tariffs on BRICS nations if they create a new currency to challenge the US dollar.

Trump, in a post on Truth Social, stated that any BRICS country creating a new currency or supporting an alternative to the dollar would face these tariffs, effectively barring them from the US market.

The BRICS group, initially comprised of Brazil, Russia, India, China, and South Africa, has recently expanded to include several other countries. The potential for a new BRICS currency is driven by a desire among member nations, particularly Russia and China, to reduce reliance on the US dollar and circumvent Western sanctions. Brazil’s president had previously suggested a common South American currency.

Trump’s threat comes shortly after he announced plans for significant tariff increases on goods from Mexico, Canada, and China, citing concerns about illegal immigration and border security. While he has spoken with the Mexican and Canadian leaders following these announcements, their accounts of the conversations differ.

The expanding BRICS alliance presents a challenge to US global leadership, and Trump’s aggressive stance signals his intention to counter this emerging economic bloc.