In 2025, the global landscape has dramatically shifted from what it was a decade ago. Despite this evolution, some nations persist with outdated strategies, believing that threats of tariffs and sanctions can still influence the international community.
On his first day in office, recently sworn-in U.S. President Donald Trump threatened to impose a 100 percent tariff on BRICS nations if they continue their de-dollarization efforts. \"As a BRICS nation… they\'ll have a 100 percent tariff if they so much as even think about doing what they thought, and therefore they\'ll give it up immediately,\" he declared.
The Chinese Ministry of Foreign Affairs responded swiftly during a regular press conference, emphasizing that BRICS is not about confrontation but about fostering cooperation and shared prosperity. The global community is increasingly resistant to one-currency dominance and sanction-driven pressure tactics.
Take Russia as an example. When faced with a barrage of sanctions from the West in 2014 and 2022, many anticipated an economic collapse. Instead, Russia developed its own financial systems. The System for Transfer of Financial Messages (SPFS) emerged as a domestic alternative to SWIFT, and the Mir payment card, launched in 2017, assumed the role of Visa and Mastercard within the country. These initiatives insulated the Russian economy and paved the way for deeper financial ties with non-Western allies like Türkiye, Kazakhstan, and nations in the Middle East, reducing reliance on Western-dominated systems.
Similarly, the U.S. restricted Türkiye's access to American technology and equipment, including F-35 jets and armed unmanned aerial vehicles. In response, Türkiye began producing these technologies domestically and even started exporting them to countries in the Middle East and Africa.
The resilience of Russia and Türkiye is indicative of a broader global trend. An increasing number of nations are seeking a more equitable world order. Last year's G20 Summit in Brazil marked a historic moment with the African Union attending as a full member for the first time. The G20 now represents a new vision, not just a gathering of economically powerful countries.
BRICS nations are also redefining global trade norms. By conducting trade in their own currencies, they are reducing dependence on the U.S. dollar. Brazil and China now trade using their national currencies, a practice mirrored by India and its regional partners. The BRICS New Development Bank has accelerated efforts to finance projects in local currencies, offering a fresh approach to international funding without relying on Western institutions. Additionally, initiatives are underway to create a BRICS blockchain-based payment system.
This shift is rooted in pragmatism rather than political posturing. The world has witnessed the vulnerabilities of a dollar-dominated system, with crises like the 2008 financial meltdown and the pandemic-induced global recession affecting economies worldwide. Over-reliance on the dollar has proven to be a risky proposition.
The global community is moving beyond threats, sanctions, and one-currency dominance. Nations are embracing cooperation, innovation, and financial independence, forging a new path toward shared prosperity and stability.
Reference(s):
Why threats, sanctions and one-currency dominance are past their prime
cgtn.com
