Overview

• Donald Trump has warned BRICS nations of 100% tariffs if they pursue a currency to rival the US dollar or support de-dollarization efforts.
• Economists argue the tariff threats could backfire, potentially undermining confidence in the US dollar's dominance and harming US trade relations.
• The US dollar remains deeply entrenched in global finance, accounting for the majority of international trade, debt, and central bank reserves.
• Efforts by BRICS nations to reduce reliance on the dollar, including proposals for alternative payment systems, have made limited progress and face internal divisions.
• Experts highlight contradictions in Trump's economic goals, noting that reducing the US trade deficit could weaken the dollar's global dominance.