Trump warns: Countries supporting BRICS "anti-American" policies will face a 10% tariff
Trump warned that any country supporting anti-American policies of the BRICS nations will face a 10% tariff, further exacerbating global trade uncertainty. He stated on social media that there are no exemptions for this policy, with the dollar rising 0.2% and metal prices falling. BRICS leaders expressed strong concerns over Trump's tariff policy and called for a fair resolution to the Middle East conflict. The U.S. is preparing to send tariff letters to multiple countries, as the 90-day exemption period of the Trump administration is about to expire
According to the Zhitong Finance APP, U.S. President Donald Trump stated that he would impose an additional 10% tariff on any country that supports "anti-American policies of the BRICS countries." Trump's remarks have heightened global trade uncertainty as the U.S. continues negotiations with many trading partners over tariffs.
In a post on Truth Social, Trump stated, "Any country that aligns with the anti-American policies of the BRICS countries will face a 10% tariff. There will be no exemptions for this policy."
Following Trump's threat on Sunday night, the dollar rose by 0.2%, while metal prices fell.
As Trump made these remarks, the U.S. was preparing to send tariff letters to dozens of countries in the coming days, with the Trump administration's 90-day suspension of tariff increases set to expire on Wednesday. Trump indicated in another post that these letters would begin to be delivered starting noon Washington time on Monday.
Trump's post did not specify which policies he considers "anti-American," nor did it provide details on when these tariffs might be imposed.
Reports indicate that BRICS countries, including Brazil, Russia, India, China, and South Africa, held a summit over the weekend. In a joint statement, the leaders of these countries strongly criticized Trump's tariff policies, expressing "serious concern over the rise of unilateral tariffs and non-tariff measures that distort trade and violate WTO rules."
Mingze Wu, a trader at StoneX Financial Inc., stated, "Trump's remarks serve as a warning to emerging market countries that wish to join the BRICS ranks." He added that Trump's comments are likely a response to the BRICS countries' statements regarding Gaza.
Reports indicate that BRICS leaders condemned the U.S. and Israel's attacks on Iran in a statement released on Sunday, calling for Israel to withdraw its troops from the Gaza Strip. They urged a "just and lasting" resolution to the conflicts in the Middle East. It is understood that Iran will officially become a member of BRICS in 2024.
Notably, major U.S. trading partners are racing to reach trade agreements or lobby for extended negotiation time before the final deadline of July 9. U.S. Treasury Secretary Scott Basset hinted that some countries that have not yet reached agreements could opt for a three-week extension, with tariffs set to take effect on August 1.
Trump had previously threatened that if BRICS countries abandoned the use of the dollar in bilateral trade, he would impose a 100% tariff on those countries. Trump's threats have sparked interest among countries in developing local payment systems and other tools to facilitate trade and investment between nations.
On Sunday, BRICS leaders agreed to continue negotiations on cross-border payment systems for trade and investment
