Trump Warns BRICS Nations, Including India, of 10% Tariff Increase

In a decisive move, U.S. President Donald Trump has reiterated his warning to BRICS nations—including India—of a potential 10% tariff, asserting that the bloc seeks to undermine the U.S. dollar. During a Cabinet meeting held on July 9, 2025, Trump stated, "BRICS is getting a 10% charge pretty soon," emphasizing that no exceptions would be made for any member countries. His comments come at a time when the United States and India are negotiating an interim trade deal, set against the backdrop of increasing tensions regarding international trade policies.

The BRICS group, comprising Brazil, Russia, India, China, and South Africa, has been criticized by Trump, who claims it is configured to harm the U.S. economy. "They [India] will certainly have to pay 10% if they are in BRICS because BRICS was set up to hurt us, to degenerate our dollar. The Dollar is king. We are going to keep it that way," Trump stated. The President's remarks align with his broader stance on trade, where he has frequently used tariffs as a negotiating tool.

This announcement follows Trump’s earlier communications via social media, declaring, "Any country aligning themselves with the Anti-American policies of BRICS will be charged an ADDITIONAL 10% Tariff. There will be no exceptions to this policy."

As India navigates its position within BRICS while simultaneously being a crucial trade partner to the U.S., experts have raised concerns regarding the implications of such tariffs. According to Dr. Sarah Johnson, Professor of International Trade at Harvard University, "Trump's tariff threats could destabilize existing trade agreements and create uncertainty for multinational companies."

In light of these developments, Trump has confirmed that he anticipates finalizing a trade deal with India, which could be signed during his upcoming visit to the country in the fall. However, Indian officials are reportedly cautious, as negotiations may exclude contentious sectors like agriculture and dairy, where India has taken a firm stance.

The economic implications of Trump's tariff warnings could be significant. According to a report by the World Bank published in June 2025, tariffs imposed on key trading partners could lead to a decrease of up to 2% in U.S. GDP growth, particularly affecting sectors reliant on foreign trade.

The U.S. President has extended the deadline for these tariffs to commence, stating they will become effective from August 1, 2025. This deadline allows countries to negotiate terms with the U.S. to avoid the additional charges. Trump has indicated that he remains open to negotiations, but the conditions appear stringent.

The broader context of these tariff threats reflects ongoing global economic tensions and the shifting dynamics of international trade alliances. As countries reassess their trade strategies in light of U.S. policies, the potential fallout from Trump's tariffs could reshape global markets.

In summary, Trump's warnings to BRICS members, particularly India, signal a potential escalation in trade tensions that could have far-reaching impacts on both economies involved. As negotiations proceed, the outcome will likely hinge on the balance between cooperation and competition in an increasingly complex global trade environment.