President Donald Trump issued a warning on Thursday to BRICS member nations regarding their potential efforts to replace the U.S. dollar as the global reserve currency. He reiterated a previous threat of imposing 100% tariffs, which he first mentioned shortly after his election victory in November.

“We will demand a commitment from these seemingly adversarial countries that they will not establish a new BRICS currency or support any other currency to supplant the powerful U.S. dollar, or they will face 100% tariffs,” Trump stated on Truth Social, echoing a message he shared on November 30.

At that time, Russia indicated that any U.S. attempts to force countries to adopt the dollar would ultimately be counterproductive. The BRICS coalition, which includes Brazil, Russia, India, China, and South Africa, along with several other nations that have joined recently, currently lacks a unified currency. However, discussions about creating one have intensified following Western sanctions imposed on Russia due to the conflict in Ukraine.

“There is no possibility that BRICS will replace the U.S. dollar in international trade or any other context, and any country that attempts to do so should expect tariffs and say farewell to America!” he added.

Trump’s warning comes as Canada and Mexico await his decision on whether to implement a promised 25% tariff on these North American trading partners starting February 1. He aims to leverage tariffs to encourage Mexico and Canada to assist in curbing the influx of illegal drugs, particularly the dangerous opioid fentanyl, and to address the issue of illegal immigration into the United States.

The dominance of the U.S. dollar in the global economy has recently intensified, driven by a strong U.S. economy, stricter monetary policies, and increased geopolitical tensions. This trend persists despite economic fragmentation prompting BRICS nations to seek alternatives to the dollar in favor of other currencies.

A report from the Atlantic Council’s GeoEconomics Center last year confirmed that the U.S. dollar continues to be the leading reserve currency worldwide, with neither the euro nor the BRICS nations making significant strides in diminishing global dependence on the dollar.

The term BRIC, originally excluding South Africa, was introduced in 2001 by Jim O’Neill, then chief economist at Goldman Sachs, in a paper highlighting the growth potential of Brazil, Russia, India, and China. The group was established as an informal alliance in 2009 to create a platform for its members to contest a world order largely influenced by the United States and its Western allies. South Africa joined the bloc in 2010, leading to the rebranding as BRICS. In 2023, the group expanded to include Egypt, Ethiopia, Iran, and the United Arab Emirates, with Indonesia joining earlier this month.