Trump Threatens Extra 10% Tariffs on BRICS-Allied States
Washington D.C., July 7, 2025 – Former President Donald Trump announced via Truth Social that nations aligning with what he labeled the “Anti‑American policies” of the expanded BRICS bloc will face an additional 10% tariff, starting with no exceptions. He did not elaborate on which policies warranted the penalty reuters.comreddit.com+4foxbusiness.com+4thehindubusinessline.com+4.
🌍 Targeting ‘Anti‑American’ Alliances
Trump’s statement—posted on Saturday—warns that any country backing BRICS policies deemed antagonistic to U.S. interests will incur the new surcharge. Originally comprising Brazil, Russia, India, China, and South Africa, the bloc now includes Egypt, Ethiopia, Indonesia, Iran, Saudi Arabia, and the UAE indiatoday.in+6reuters.com+6reuters.com+6.
📅 Wider Tariff Context and Market Impact
This move dovetails with broader U.S. tariff tensions. Commerce Secretary Lutnick has confirmed the general 10% tariff will begin August 1, with potential increases to 50%, and possibly 70%, pending trade negotiations reuters.com.
Market response was swift: Asian equities slipped, while U.S. bond yields dropped as investors sought safe havens amid rising policy uncertainty reddit.com+8reuters.com+8reddit.com+8.
🔄 Negotiation Leverage and Trade Deals
The U.S. Treasury is reportedly finalizing several bilateral trade agreements before a July 9 deadline, hoping to stabilize trade terms with key partners. Countries failing to comply risk facing the tariff hike reddit.com+6reuters.com+6reuters.com+6.
🚨 Analysis and Global Repercussions
Trade analysts warn these aggressive tactics may provoke retaliatory measures from BRICS, pushing nations toward alternative trade systems—a move that could undermine the U.S. dollar’s global dominance.
At the Rio BRICS Summit, member states condemned escalating tariffs, stressing multilateralism over unilateral penalties
