BRICS vs. U.S. Power: Why Trump’s Tariffs Are Not Just Noise

Written by Aju John

Many people see Donald Trump as loud and unpredictable—throwing out tariffs, making threats, and stirring global headlines. But behind the bluster is a clear goal: defending U.S. dominance. Trump’s warnings and tariffs against BRICS nations (Brazil, Russia, India, China, and South Africa) are part of a bigger struggle. As BRICS grows stronger and pushes for a multipolar world, the U.S. feels its leadership slipping.

This article explains how the U.S. built its global power, how BRICS is challenging it, and why Trump sees the group as a real threat.

BRICS: From Idea to Global Force

The idea of BRIC (without South Africa) began in 2001 when Goldman Sachs economist Jim O’Neill described these fast-growing economies as future challengers to the West. In 2010, South Africa joined, forming BRICS. At first, the group was mainly about trade and development cooperation. But after the 2008 financial crisis—caused by the U.S. housing collapse—BRICS started thinking bigger.

The crisis showed how dangerous it was to depend so much on the U.S. dollar and economy. At their first summit, BRICS leaders discussed de-dollarization and protecting themselves from U.S.-led shocks.

By 2023, BRICS’ GDP (measured by purchasing power) had overtaken the G7’s. In 2024, Russian President Vladimir Putin openly described BRICS’ vision for a multipolar world—where many powers, not just the U.S., shape global rules.

How the U.S. Built Its Global Power

The U.S. didn’t just stumble into power—it built it on three main pillars:

1. The Dollar

After World War II, the U.S. held the world’s largest gold reserves. The 1944 Bretton Woods Agreement made the dollar the global standard, pegged to gold. When Nixon ended the gold standard in 1971, the U.S. created the “petrodollar” system: oil could only be traded in dollars. This forced global demand for the currency, making it central to trade, debt, and investment.

Today, about 80% of global trade uses dollars. Countries even buy U.S. Treasury bonds with their reserves, keeping the U.S. economy strong. This allows America to print money, service debt, and export inflation while others bear the cost.

2. International Institutions

The U.S. also controls the IMF and World Bank through its large voting share. These institutions lend money, but often with conditions that open markets to Western companies or enforce policies favorable to U.S. interests. From France after WWII to Bolivia in the 1990s, aid often came with strings attached.

3. Energy Power

The petrodollar system ties global oil trade to the U.S. dollar. Sanctions give the U.S. extra leverage. When Russia annexed Crimea in 2014 and later invaded Ukraine in 2022, the U.S. froze hundreds of billions in Russian assets and cut it off from the SWIFT payment system.

How BRICS Is Fighting Back

BRICS knows that whoever controls money, banks, and energy controls the world. They are working to build alternatives to U.S. power.

1. A New Currency & Payment System

BRICS is planning a gold-backed currency to reduce dependence on the dollar. Unlike fiat money, this would be harder for the U.S. to manipulate with sanctions. They are also developing BRICS Pay, a blockchain-based system that avoids SWIFT. Already, India buys Russian oil in rupees and dirhams, while Saudi Arabia accepts non-dollar payments.

2. The New Development Bank (NDB)

Launched in 2014, the NDB funds infrastructure in BRICS and other developing nations. Unlike the IMF or World Bank, it doesn’t impose harsh conditions. Though much smaller in size, it represents the first real alternative to Western lending.

3. Energy Independence

BRICS nations produce 40% of the world’s oil and 36% of natural gas. With Saudi Arabia and the UAE joining in 2024, this power grows. India and China already import discounted Russian oil, refining it and even reselling to Europe. This weakens U.S. sanctions and the petrodollar system.

The Roadblocks Ahead

BRICS isn’t without problems. India and China still have border disputes. Saudi Arabia and the UAE rely on U.S. military protection. And India tries to balance BRICS membership with ties to the U.S.

But despite these issues, BRICS keeps growing. For Trump, that’s reason enough to act. In early 2025, only a month into office, he threatened tariffs of up to 150% on BRICS countries undermining the dollar. Before the election, he had already promised 100% duties on their proposed currency.

The Bigger Picture

Trump’s tariff threats aren’t just random. They’re part of a bigger U.S. strategy to slow down BRICS before it fully rivals Western power. The U.S. prefers a unipolar world where it sets the rules. BRICS wants a multipolar world where no one nation dominates.

The question isn’t whether BRICS will replace the U.S. tomorrow—it won’t. But the shift has started. BRICS has already matched the G7 economically, created alternatives to the dollar, and built its own development bank.

Trump’s alarm is proof that BRICS matters. The unipolar era may be fading, and the future looks more balanced.