Another BRIC In The Wall

Just a little something to think about on this Cyber Monday.

In 2025 if all the promises are held to then the consumer should be prepared for high prices on a wide array of products…..like coffee, electronics, textiles, agricultural stuff, clothing, furniture, toys and steel….there are more but you get my drift I suppose.

There is a wall being built…..a wall of high prices…..

More possible tariffs and more high prices….

President-elect Trump continues to wield his tariff weapon: On Saturday, he threatened 100% tariffs against a bloc of nine nations if they act to undermine the US dollar. His threat was directed at countries in the so-called BRIC alliance, which consists of Brazil, Russia, India, China, South Africa, Egypt, Ethiopia, Iran, and the United Arab Emirates. Trump, in a Truth Social post, said: “We require a commitment from these Countries that they will neither create a new BRICS Currency, nor back any other Currency to replace the mighty U.S. Dollar or, they will face 100% Tariffs, and should expect to say goodbye to selling into the wonderful U.S. Economy,” per the AP.

While the US dollar is by far the most-used currency in global business and has survived past challenges to its preeminence, members of the alliance and other developing nations say they are fed up with America’s dominance of the global financial system. The dollar represents roughly 58% of the world’s foreign exchange reserves, according to the IMF, and major commodities like oil are still primarily bought and sold using dollars. The dollar’s dominance is threatened, however, with BRICS’ growing share of GDP and the alliance’s intent to trade in non-dollar currencies—a process known as de-dollarization.

At a summit of BRIC nations in October, Russian President Vladimir Putin accused the US of “weaponizing” the dollar and described it as a “big mistake.” “It’s not us who refuse to use the dollar,” Putin said at the time. “But if they don’t let us work, what can we do? We are forced to search for alternatives.” Russia has specifically pushed for the creation of a new payment system that would offer an alternative to the global bank messaging network, SWIFT, and allow Moscow to dodge Western sanctions and trade with partners. Trump said there is “no chance” BRIC will replace the US dollar in global trade and any country that tries to make that happen “should wave goodbye to America.”

Today is Cyber Monday you might want to consider the price increases to come and spend your money appropriately.

A note…..tariffs….the countries do not pay the money it is the importers they pay and is passed along to the consumer…..in other words the tariffs effect you and no one else.

Are you not pleased with your choice?

I Read, I Write, You Know

“lego ergo scribo”

8 thoughts on “Another BRIC In The Wall

  1. Once current stocks run out in a few months, next year will start to show the full effect of the proposed tariffs. (If he goes ahead with them) Trump might have to accept a U-turn on those.

    Best wishes, Pete.

      1. OK– a moment of madness….you are right… the comments are restored. Thanks for waking me up.

  2. I don’t know just why Trump decided to make that statement at this time. But the chances of BRIC countries actually establishing a currency are slim to remote.

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