On October 15, 2025, U.S. President Donald Trump intensified his campaign against the BRICS economic bloc, unveiling a tariff strategy he claims has already forced countries to reconsider their participation and ambitions to challenge the dollar’s dominance. In a series of public statements and meetings, Trump accused BRICS of orchestrating what he called an “attack on the dollar,” and warned that any nation aligning with the bloc’s de-dollarisation agenda would face punishing tariffs and sanctions.
BRICS, originally founded in 2009 by Brazil, Russia, India, and China, has expanded in recent years to include South Africa, Egypt, Ethiopia, Iran, the United Arab Emirates, and Indonesia as full members. Ten additional countries, including Belarus, Bolivia, and Malaysia, are partner states, while another ten, such as Pakistan and Sri Lanka, have submitted applications for membership. The group’s rapid expansion and open discussion of a “BRICS currency” have rattled Washington and drawn the ire of the Trump administration.
Speaking during a lunch with Argentine President Javier Milei at the White House, Trump did not mince words. “I told anybody who wants to be in BRICS, that’s fine, but we’re going to put tariffs on your nation,” he declared, according to reporting from multiple outlets. “Everybody dropped out. They’re all dropping out of BRICS. BRICS was an attack on the dollar and I said, you want to play that game, I’m going to put tariffs on all of your products coming into the US. They said, like I said, we’re dropping out of BRICS...They don’t even talk about it anymore.”
Trump’s rhetoric has grown increasingly forceful since his 2024 election victory, which he claims was pivotal to maintaining the dollar’s global standing. During his meeting with Milei, Trump asserted that the dollar’s continued dominance would not have been secured without his return to office. He has repeatedly framed BRICS as a direct challenge to U.S. economic supremacy, insisting the bloc was “set up to hurt us” and “degenerate our dollar.”
Earlier this year, Trump issued a stark warning to BRICS members, threatening 100% tariffs if they moved forward with plans to replace the dollar as a reserve currency. In July, he doubled down, threatening an additional 10% levy on countries he accused of aligning with what he described as “Anti-American policies of BRICS.”
India, a founding member of BRICS and a key U.S. partner, has sought to distance itself from the bloc’s de-dollarisation efforts. External Affairs Minister S. Jaishankar clarified late last year that New Delhi “has no interest” in weakening the U.S. dollar, emphasizing that Washington remains India’s largest trade partner. “India’s priority is working with the U.S. to strengthen global economic stability,” Jaishankar stated, as reported by international outlets. He further stressed that BRICS members lack a unified position on replacing the dollar and reaffirmed India’s commitment to the stability of the international financial system.
Just days before Trump’s latest remarks, India had publicly urged BRICS nations to uphold the multilateral trading system and adhere to international law, a move widely interpreted as a pushback against the protectionist measures championed by Trump’s administration. This stance risks fresh friction between New Delhi and Washington, as the U.S. President remains vocal in his hostility toward the non-Western grouping.
BRICS’s exploration of a common currency has gained momentum in recent years, especially after the U.S. dollar strengthened following Federal Reserve interest rate hikes and the imposition of international sanctions on Russia. The bloc’s leaders have openly discussed ways to reduce their economies’ vulnerability to dollar fluctuations and to insulate themselves from the impact of Western sanctions. Yet, as Jaishankar’s comments underscore, there is no single vision within BRICS about how or when to pursue such a path.
Trump’s warnings have not been limited to abstract threats. He claims that his tariff policies have already had a chilling effect on the group’s ambitions. “Many countries wanted to join BRICS but gave up the prospect amid concerns about US sanctions,” Trump told reporters at the White House. He further suggested that the conversation about replacing the dollar had ceased, attributing this development to his administration’s hardline approach.
During his meeting with President Milei, Trump also took the opportunity to advocate for dollarization in Argentina—a move he argued would shield the country from BRICS-led financial threats and Chinese influence. “China likes to draw wedges,” Trump warned, urging Argentina not to deepen business ties with Beijing. He promoted dollarization as a path to stability, greater alignment with the U.S.-led global order, and protection from currency volatility and strategic moves by BRICS. For Argentina, which has struggled with hyperinflation, dollarization is touted as a way to attract investment, enforce fiscal discipline, and insulate itself from the geopolitical maneuverings of both BRICS and China.
The Trump administration’s strategy is clear: reward those who align with the dollar and punish those who seek alternatives. Trump stated bluntly that he “likes the dollar” and that any country adopting it or keeping its foreign-currency reserves in it would receive preferential treatment from the United States.
Reactions to Trump’s aggressive approach have been mixed. Supporters argue that defending the dollar’s reserve status is crucial for maintaining U.S. economic power and global influence. They contend that BRICS’s ambitions, if realized, could disrupt international markets and undermine the stability of the financial system. Detractors, however, warn that punitive tariffs and sanctions risk alienating key partners, fueling global economic fragmentation, and accelerating the very de-dollarisation the U.S. seeks to prevent.
India’s nuanced position highlights the complexities facing BRICS as it seeks to expand its influence. While some members are eager to pursue alternatives to the dollar, others—like India—remain cautious, prioritizing stability and strong ties with the U.S. over confrontation. This lack of consensus within BRICS may slow or even stall efforts to launch a common currency or fully break away from the dollar-dominated system.
As the debate rages on, the future of global trade and currency dynamics hangs in the balance. Trump’s willingness to wield tariffs as a weapon against economic rivals marks a continuation of his “America First” approach, but it also raises questions about the long-term consequences for U.S. leadership and international cooperation. Will the threat of economic penalties be enough to deter BRICS from pursuing its ambitions, or will it spur the bloc to double down on its quest for greater autonomy?
For now, the only certainty is that the battle over the dollar’s supremacy—and the shape of the world’s economic order—remains far from settled. With BRICS expanding, U.S. rhetoric escalating, and nations like India walking a diplomatic tightrope, the coming months promise to be anything but dull.