BRICS committed to ending US dollar dominance, Brazil's Lula says
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Brazilian President Luiz Inácio Lula da Silva says the BRICS alliance is committed to putting an end to the dominance of the US dollar over international trade.
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Brazilian President Luiz Inacio Lula da Silva speaks during the opening session of the First Sherpa Meeting in preparation for the July BRICS meeting in Brazil, at Itamaraty Palace, in Brasilia, Brazil, Wednesday, Feb. 26, 2025 (AP)
Brazilian President Luiz Inácio Lula da Silva reaffirmed on Thursday that the BRICS group remains committed to ending the dominance of the US dollar in global trade, stating that this goal will be pursued “no matter the cost.”
Speaking before top negotiators from BRICS member states in Brasilia on Wednesday, Lula emphasized the need for alternative payment platforms among member countries. He dismissed threats from former US President Donald Trump, who had warned of imposing tariffs, saying they would not deter the bloc from seeking financial independence.
Lula also highlighted the necessity of improving the international monetary and financial system, stressing that “the current escalation of protectionism in trade and investment reinforces the importance of measures aimed at overcoming barriers to our economic integration.”
BRICS, which includes Brazil, Russia, India, China, and South Africa, has been working toward reducing reliance on the US dollar in global transactions, exploring local currency trade and alternative financial mechanisms to enhance economic cooperation among its members.
Trump threatens BRICS tariffs
Trump in late January made threats to impose 100% tariffs on BRICS nations if they created a rival to the US dollar.
He posted on his Truth Social platform; "The idea that the BRICS Countries are trying to move away from the Dollar, while we stand by and watch, is OVER."
"We are going to require a commitment from these seemingly hostile Countries that they will neither create a new BRICS Currency, nor back any other Currency to replace the mighty U.S. Dollar or, they will face 100% Tariffs," he continued.
Trump's comments came just days before a February 1 deadline he set early in his presidency, warning he would impose 25% tariffs on Canada and Mexico unless they took action to curb illegal migration across the US border and the flow of deadly fentanyl.
He also threatened China, a member of the BRICS bloc, with an additional 10% levy on goods starting February 1, citing a trade imbalance and its alleged involvement in the US fentanyl supply.
