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Trump’s Sanctions Backfire: BRICS Nations Unite Against US Pressure in 2025

Trump’s Sanctions Backfire: BRICS Nations Unite Against US Pressure in 2025

Author:
AltH4ck3r
Published:
2025-08-27 22:43:02
13
2


In a twist of geopolitical irony, Donald Trump’s aggressive trade sanctions against the BRICS bloc (Brazil, Russia, India, China, and South Africa) have inadvertently sparked unprecedented cooperation among these historically divided nations. As tariffs soar—reaching a staggering 145% on Chinese goods—the BRICS members are accelerating efforts to reduce dollar dependence, holding their first trilateral summit in six years. Here’s how punitive US policies are reshaping global alliances.

How Are Trump’s Sanctions Pushing BRICS Closer Together?

Since his return to the White House, TRUMP has unleashed what analysts call a "scorched-earth" trade policy. China faces 145% tariffs unless it bows to US demands, India battles 50% levies (half targeting its discounted Russian oil imports), while Brazil and South Africa confront 50% and 30% duties respectively. Even Egypt, the bloc’s newest member, risks penalties merely for association. "These sanctions are like welding metal with a flamethrower—they’re forcing BRICS into a shared survival strategy," remarks Ajay Srivastava, former Indian trade official. The result? Central banks are stockpiling gold, while bilateral trade in yuan, rupees, and rubles has surged 210% year-to-date (TradingView data).

Trump yelling with metal chains encircling BRICS leaders

What’s Driving the Historic China-India-Russia Summit?

For the first time since their 2019 border clashes, Chinese President Xi Jinping and India’s Narendra Modi will meet face-to-face at July’s Shanghai Cooperation Organization summit in Tianjin—with Russia’s Putin mediating. The Kremlin’s playbook is clear: transform BRICS from a talk shop into an anti-dollar coalition. Behind the scenes, confidence-building measures are unfolding. Direct flights between Beijing and Delhi resumed last month, China pledged to supply India with rare earths (critical for defense tech), and both sides eased visa rules. Yet trust remains brittle—India still exports $77.5B to the US (2024 figures) versus just $18B to China, and Beijing’s dam projects on Tibet’s rivers keep Delhi’s strategists awake at night.

Can BRICS Really Dethrone the Dollar?

While a common BRICS currency remains pipe dream (for now), the bloc is making tangible moves. Key developments:

  • Gold Rush: BRICS central banks bought 228 metric tons of gold in Q2 2025—triple the global average (CoinMarketCap)
  • Local Currency Deals: Russia now sells 76% of its oil to China and India in non-dollar currencies
  • Tech Wars: Chinese rare earth exports to India surged 40% post-sanctions, despite ongoing border disputes

"This isn’t about ideology anymore—it’s pure pragmatism," notes a BTCC market analyst. "When Washington slams doors, BRICS members are forced to share windows."

FAQ: BRICS vs. US Sanctions

Why are BRICS countries buying more gold?

Gold provides a hedge against dollar volatility and sanctions. BRICS nations added 228 tons in Q2 2025—their highest quarterly purchase since 1971 (when Nixon abandoned the Gold standard).

How do India’s US ties affect BRICS unity?

India walks a tightrope—77% of its tech exports go to America, making full BRICS alignment risky. But with US tariffs biting, Delhi’s calculus is shifting.

Could BRICS create a new reserve currency?

Unlikely short-term, but their local currency trade framework (already covering 23% of intra-BRICS commerce) weakens dollar dominance.

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