U.S. President Donald Trump has warned of an additional 10% tariff on any nation aligning with what he termed the “Anti-American policies of BRICS”, adding fuel to already volatile global trade dynamics. The unexpected announcement, made via his Truth Social account late Sunday, immediately reverberated through financial markets, strengthening the dollar by 0.2%, weakening the yuan, and causing a dip in metals prices.
“There will be no exceptions to this policy,” Trump declared, though he did not specify which BRICS-aligned actions qualify as “Anti-American.” His statement comes just as Washington prepares to dispatch a new round of tariff letters to global trading partners, with the Trump administration’s current 90-day pause on higher duties set to expire on Wednesday.
BRICS—the powerful bloc comprising Brazil, Russia, India, China, and South Africa, had concluded a high-level summit over the weekend where leaders collectively criticized Trump’s tariff regime. In a joint communiqué, BRICS members condemned the “unilateral tariff and non-tariff measures” employed by the U.S., arguing they distort trade and contravene WTO regulations.
Key attendees at the summit included Chinese Premier Li Qiang and Indian Prime Minister Narendra Modi, both of whom have expressed growing frustration with U.S. trade policy. Trump’s retaliatory message appears to respond not only to BRICS’ trade stance but also to its political statements, including criticism of Israeli military operations in Gaza.
The BRICS alliance voiced “grave concern about the situation in the Occupied Palestinian Territory,” condemning Israeli strikes and the obstruction of humanitarian aid, while calling for a permanent ceasefire and the release of all hostages. Though Israel denies the allegations, Trump’s alignment with Israel may be further motivating his hardline response to BRICS criticism.
BRICS leaders also committed to advancing a cross-border payment system, a move aimed at reducing reliance on the U.S. dollar in bilateral trade. Though the plan has seen little progress over the past decade, interest has surged amid growing global resentment of dollar-dominated financial architecture.
Trump has previously threatened 100% tariffs on BRICS nations if they fully abandon the dollar in trade settlements. These escalatory tactics underscore intensifying geopolitical divides and rising protectionist sentiment just as Washington seeks to finalize multiple trade deals before the July 9 deadline.
Treasury Secretary Scott Bessent hinted that countries without finalized deals may be granted a three-week extension, delaying the imposition of new duties until August 1. Still, many governments are now scrambling to secure exemptions or accelerate negotiations to avoid falling under Trump’s latest tariff hammer.
