BRICS countries could face a 100% US tax if they want to play a game with the US dollar, US President Donald Trump warned.
"If any transaction is made, it will be subject to at least a 100% tax," Reuters quoted President Trump's answer when asked about BRICS countries creating their own currencies.
" BRICS created it for bad purposes... I said, if they want to play a game with the USD, they will have to pay a 100% tax" - Times of India also shared more about Mr. Trump's statement.
The Indian newspaper noted that President Donald Trump emphasized that the day BRICS mentioned the challenge to the US dollar was the day BRICS was "dead". " BRICS died at the moment I said that if they touched the USD, they would have to pay a 100% tax. BRICS is dead".
US President Donald Trump's warning was issued on February 13, just hours before his meeting with Indian Prime Minister Narendra Modi. India is a member of BRICS.
According to RT, President Trump also rejected concerns about potential economic leverage from BRICS countries for the US. He affirmed: "If BRICS want to play this game, those countries will not trade with us. We will not trade with them."
Speculation about the common currency of BRICS has appeared in recent years. However, the group's member states have denied any official discussions on the issue.
At the BRICS summit in Kazan, Russia in October 2024, the leaders pledged to develop a cross-border payment system to supplement the Western SWIFT network and expand the use of domestic currencies in trade.
This week, Reuters quoted an unnamed Brazilian official as confirming that the idea of a common currency to replace the US dollar raised at recent BRICS summits had not been included in technical discussions.
Brazil - BRICS President 2025 - is promoting reforms in BRICS to facilitate international transactions in domestic currency, opening up a downward direction of dependence on the USD in global trade.
"No one wants to cause trouble, but BRICS countries do not want to give up the intention of exploring this possibility," another source said, noting that no BRICS member country has any intention of giving up its US dollar reserves.
Last week, Brazilian President Luiz Inacio Lula da Silva defended the BRICS countries' "right to discuss the establishment of trade forms that do not make us completely dependent on the US dollar". Also last week, the Brazilian Finance and Central Bank discussed proposals for this year's BRICS presidency, including cross-border payment initiatives.
