As BRICS expands and seeks alternatives to Western dominance, Trump’s latest tariff warning signals a deepening divide in global economic alliances.
7 July 2025, New Delhi
U.S. President Donald Trump has ignited fresh global economic tensions by threatening to impose an additional 10% tariff on countries aligning with BRICS policies, labeling the bloc’s growing influence as “anti-American.” The warning was issued via a post on Truth Social while the 17th BRICS Summit was underway in Brazil.
This latest move underscores Trump’s continued “America First” agenda and follows recent tariff hikes on Chinese electric vehicles and European steel. The potential tariffs target countries perceived as drifting toward BRICS, which has recently expanded to include Egypt, Ethiopia, Iran, Saudi Arabia, and the UAE. The bloc now accounts for nearly 40% of global GDP (PPP), serving as a substantial counterbalance to U.S.-dominated economic systems.
Trump’s threat is likely sending shockwaves through global markets, especially considering that several developing economies are trying to balance relations with Western economies and a BRICS bloc that is becoming increasingly asserted. Some analysts noted that the threat may be directed at countries such as India, whose Prime Minister Narendra Modi is at the summit, where he has continued to enunciate a tricky strategic balancing act between their BRICS partners and West-aligned interlocutors.
The timing of the message may shift BRICS discussions around alternative trade avenues and shifting away from U.S. dollar dependence. Some analysts warn that such tariff threats may increase global economic disintegration, as well as assess the unity and resilience of an expanded BRICS coalition in light of increasing geopolitical pressures.
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