The BRICS alliance, originally comprising Brazil, Russia, India, China, and South Africa, has faced mounting pressure following recent threats from U.S. President Donald Trump. His warning of imposing a 100% tariff on BRICS nations for allegedly undermining the dominance of the U.S. dollar has ignited global debate on the role and influence of the group. However, India has reiterated its position within BRICS, emphasizing its commitment to fostering international cooperation while clarifying its stance on the dollar’s role in the global financial system.
Trump’s Tariff Threat and BRICS’ Response
Donald Trump, in a recent statement, declared that BRICS had been “dead” since he made his tariff threat, asserting that the group had attempted to weaken the dollar by exploring alternative currency options. Trump warned that any BRICS nation that even mentioned de-dollarization would face severe economic penalties, including a 150% tariff on trade. His remarks signal a hardline stance on maintaining U.S. economic hegemony and serve as a direct challenge to the BRICS bloc’s financial ambitions.
In response, Indian External Affairs Minister S. Jaishankar defended BRICS as a critical platform for international engagement and reform. Speaking in Parliament, Jaishankar emphasized that BRICS has evolved over the past two decades to encompass a broad agenda that includes global governance reforms, trade, climate action, and financial cooperation. “It is our endeavor to enhance understanding of BRICS activities among the international community,” he noted, underscoring India’s continued diplomatic engagement with the bloc.
India’s Position on De-Dollarization
While India remains a key member of BRICS, it has taken a nuanced approach to the U.S. concerns over de-dollarization. India has consistently maintained that it is not part of any effort to undermine the dollar or promote a common BRICS currency. Jaishankar reiterated that India has conveyed this position to U.S. officials in multiple bilateral discussions, clarifying that attacking the dollar does not align with India’s economic or strategic interests.
Acknowledging the diversity of economic policies among BRICS members, Jaishankar stated, “Understandably, as nations at different levels of development and income and bearing in mind their individual national interests, BRICS members have a range of positions on contemporary issues.” This reflects India’s balanced diplomatic approach—supporting BRICS’ multilateral aspirations while ensuring its own economic policies do not conflict with key global financial structures.
BRICS Expansion and Growing Influence
Despite the challenges posed by the U.S., BRICS continues to expand. The alliance has grown from its original five members to 11, with new additions including Egypt, Ethiopia, Iran, Saudi Arabia, the UAE, and Indonesia. Additionally, nine partner countries—Belarus, Bolivia, Cuba, Kazakhstan, Malaysia, Nigeria, Thailand, Uganda, and Uzbekistan—have expressed interest in deepening ties with the bloc.
This expansion reflects the growing appeal of BRICS as an alternative platform for global economic discussions. Issues on its agenda include strengthening multilateralism, reforming international financial institutions such as the UN Security Council and the Bretton Woods institutions, counterterrorism, climate change, and trade improvements.
India’s Strategic Balancing Act
India’s reaffirmation of its commitment to BRICS comes with a clear delineation of its economic policies. While it remains a key player in shaping the global financial order through BRICS, India has assured the U.S. that it will not participate in efforts to replace the dollar as the world’s reserve currency. This stance allows India to maintain strong relations with both BRICS nations and the U.S., ensuring its national interests remain safeguarded amid shifting global economic dynamic.
Manbilas Singh is a talented writer and journalist who focuses on the finer details in every story and values integrity above everything. A self-proclaimed sleuth, he strives to expose the fine print behind seemingly mundane activities and aims to uncover the truth that is hidden from the general public. In his time away from work, he is a music aficionado and a nerd who revels in video & board games, books and Formula 1.
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