By Andrea Shalal WASHINGTON (Reuters) -U.S. President Donald Trump on Friday repeated his threat to slap a 10% tariff on imports from members of the BRICS group of developing nations and said the group would end very quickly if they ever formed in a meaningful way. “When I heard about this group from BRICS, six […]
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Trump says BRICS would end quickly if they ever form in a meaningful way
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By Andrea Shalal
WASHINGTON (Reuters) -U.S. President Donald Trump on Friday repeated his threat to slap a 10% tariff on imports from members of the BRICS group of developing nations and said the group would end very quickly if they ever formed in a meaningful way.
“When I heard about this group from BRICS, six countries, basically, I hit them very, very hard. And if they ever really form in a meaningful way, it will end very quickly,” Trump said without naming the countries. “We can never let anyone play games with us.”
Trump also said he was committed to preserving the dollar’s global status as a reserve currency and pledged to never allow the creation of a central bank digital currency in America.
Trump announced the new tariff on July 6, saying it would apply to any countries aligning themselves with what he called the “Anti-American policies” of the BRICS group.
With forums such as the G7 and G20 groups of major economies hamstrung by divisions and the disruptive “America First” approach of the U.S. president, the BRICS group is presenting itself as a haven for multilateral diplomacy.
Since issuing the threat, Trump has repeatedly claimed without evidence that the group was set up to hurt the United States and the dollar’s role as the world’s reserve currency.
BRICS leaders have rejected the claim that the group is anti-American.
Brazil in February nixed plans to push for a common currency during its presidency this year, but the group is advancing work on a cross-border payment system known as BRICS Pay that would facilitate trade and financial transactions in local currencies.
The BRICS group expanded last year beyond Brazil, Russia, India, China and South Africa to include members such as Iran and Indonesia. Leaders at the group’s summit in Brazil voiced indirect criticism of U.S. military and trade policies.
Trump has also taken aim at Brazil specifically, announcing a 50% tariff rate on its imports, starting in August, and launching a separate investigation into what Washington called Brazil’s “unfair” trading practices.
(Reporting by Andrea Shalal, Writing by Bhargav Acharya, Editing by Jasper Ward and Diane Craft)