US Tariffs Clash with BRICS De-Dollarization in Global Economic Power Struggle
The escalating economic confrontation between US tariff policies and BRICS-led de-dollarization efforts is reshaping global finance in 2025. President Trump's threat of 10% additional tariffs on nations aligning with BRICS policies marks a direct counter to the alliance's growing cross-border payment systems, which are eroding dollar dominance.
IMF data reveals the dollar's share in global reserves has plummeted to a record 57.8%, while Gold holdings surge—central banks acquired 244 metric tons in Q1 2025 alone. This strategic shift coincides with 95% of institutional investors anticipating increased gold allocations, according to World Gold Council research.
The financial standoff mirrors deepening geopolitical fractures, with China's trade war with the US intensifying as alternative settlement systems gain traction. Market indicators suggest accelerating diversification away from dollar-denominated assets, though the greenback remains the primary reserve currency for now.