Trump Threatens 100% Tariffs on BRICS Nations Over Dollar Alternative

President-elect Donald Trump has threatened 100% tariffs on BRICS nations if they move away from the US dollar. Former RBI Governor Duvvuri Subbarao questioned the feasibility of this move, asking if US laws allow sanctions on countries simply for de-dollarising.

Subbarao noted that while Russia and China are pushing for a BRICS currency, internal disagreements and economic challenges make it unlikely. India, he said, is not ready to give up its monetary independence for a shared currency.

China has made progress in using its currency, the RMB, in global trade, but India still depends on the dollar for most transactions. Subbarao added that the costs of moving away from the dollar are high for both nations.

Trump’s tariff threat adds to global tensions but remains uncertain due to legal and practical constraints.