Trump’s Tariffs Hit BRICS Nations Hard

Trump’s aggressive tariff measures are seen by some analysts as a deliberate attempt to fracture BRICS solidarity.

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Quick overview

  • Several BRICS countries, including Brazil, South Africa, and India, faced significant tariffs imposed by the U.S., with Brazil receiving a 50% tariff, the highest on any U.S. trade partner.
  • The tariffs follow President Trump's criticism of the BRICS bloc and its efforts to strengthen financial ties and develop a cross-border payment system.
  • Analysts view Trump's tariff measures as an attempt to undermine BRICS solidarity, particularly targeting India for its close ties to Russia amid the ongoing war in Ukraine.
  • As BRICS gains geopolitical influence, experts suggest that the U.S. may need to consider engaging with the group in the future.

Several BRICS countries—including Brazil, South Africa, and India—were hit with above-average tariffs in the latest wave of trade measures announced by U.S. President Donald Trump.

Brazil, in particular, was targeted with a steep 50% tariff, the highest imposed on any U.S. trade partner. South Africa faced a 30% tariff, while India was hit with 25%. Meanwhile, the U.S. extended trade negotiations with China and threatened fresh sanctions against Russia over its ongoing war in Ukraine.

The moves come just two weeks after Trump sharply criticized the BRICS bloc following its July summit in Rio de Janeiro, where member nations reaffirmed plans to strengthen financial ties, develop BRICS Pay—a cross-border payment system in local currencies—and launch a new multilateral guarantee fund.

“When I learned about this so-called BRICS group—basically six countries—I came down on them hard,” Trump said on July 18. “And if they ever become something serious, they won’t last long. We cannot let anyone play games with us.” Trump also reaffirmed his commitment to preserving the U.S. dollar’s global reserve status and warned that any country aligning with what he called the group’s “anti-American policies” would face tariffs.

Shortly before those remarks, the U.S. Trade Representative (USTR) opened an investigation into Brazil over alleged unfair practices affecting American firms operating there. A key focus of the probe is Pix, Brazil’s central bank–developed instant payment system, which U.S. officials claim disadvantages foreign competitors.

A Strategic Blow to a Rising Bloc

The BRICS nations collectively represent nearly 48% of the world’s population and account for 27.1% of global GDP—slightly more than the United States’ 26.3%, according to American Quarterly. Since 2020, and especially following Russia’s 2022 invasion of Ukraine, BRICS countries have intensified economic and political cooperation, increasing trade volumes, investments, and shared initiatives across sectors. This growing influence challenges the long-standing dominance of the U.S.-led global order.

Trump’s aggressive tariff measures are seen by some analysts as a deliberate attempt to fracture BRICS solidarity. India, in particular, was singled out not only for its trade practices but also for its close ties to Russia.

“India has always bought the majority of its military equipment from Russia and remains one of the largest buyers of Russian energy, alongside China,” Trump stated. “They’re helping finance the war in Ukraine.”

He later added: “I don’t care what India does with Russia. They can drag each other’s dead economies down, for all I care. We’ve done very little business with India. Their tariffs are way too high—some of the highest in the world.”

Looking Ahead

As BRICS continues to rise in geopolitical relevance, experts suggest the U.S. may eventually need to reach some form of accommodation with the group. “You can’t strike a deal with the EU and ignore BRICS,” one analyst noted. “Collectively, these countries carry serious weight.”

ABOUT THE AUTHOR See More
Ignacio Teson
Economist and Financial Analyst
Ignacio Teson is an Economist and Financial Analyst. He has more than 7 years of experience in emerging markets. He worked as an analyst and market operator at brokerage firms in Argentina and Spain.

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