WASHINGTON − On Saturday, President-elect Donald Trump warned the group of emerging-market countries known as BRIC that he would enact 100% tariffs if they attempt to weaken the U.S. dollar.

This statement from Trump on his Truth Social platform seems to be directed at those looking to challenge or replace the U.S. dollar as the leading global reserve currency.

The BRIC coalition, which initially consisted of Brazil, Russia, India, and China, has expanded to include South Africa, Egypt, Ethiopia, Iran, and the United Arab Emirates.

Trump stated on Saturday, “The notion that BRICS countries are trying to move away from the Dollar while we just observe is OVER.”

“We demand that these nations commit to neither creating a new BRICS currency nor supporting any alternative currencies to replace the powerful U.S. dollar, or else they’ll be faced with 100% tariffs and say goodbye to access to the incredible U.S. economy,” Trump added. “They can go search for another ‘sucker!’ There’s no way BRICS will replace the U.S. dollar in global trade, and any country that attempts should wave farewell to America.”

During an October summit of BRIC leaders, Russian President Vladimir Putin criticized the U.S. for “weaponizing” the dollar, calling it a “serious error,” according to Associated Press reports.

As a group, the BRIC countries represent 45% of the world’s population. Other nations such as Turkey, Azerbaijan, and Malaysia have expressed interest in joining.

Tariffs function as a tax or charge on imported goods. Importers usually bear these costs, which typically get passed on to consumers. Trump’s consistent threats to introduce substantial tariffs have raised concerns not only among American consumers but also among major U.S. trading nations.

Are tariffs beneficial or detrimental to the economy?

Trump has leaned on tariffs as a strategy to stimulate the U.S. economy, claiming they could generate trillions of dollars for the government. He has proposed tariffs between 10% and 20% on all imported products, with a staggering 60% rate on goods from China.

Many experts warn that such tariffs may lead to higher inflation and slower economic growth in the U.S. Goldman Sachs, one of the leading investment banks, indicated in September that Trump’s proposals could increase inflation by as much as 1.2% in 2025.

In 2018, Trump put tariffs on $380 billion worth of imports. He argued that foreign nations bear the burden of these tariffs, but research from the National Bureau of Economic Research found that “the entire burden of the tariff falls on domestic consumers.” Another report from the New York Fed indicated that Trump’s tariffs during his first term cost an average household around $831 annually.

Recently, Trump also suggested imposing tariffs on three of the U.S.’s largest trading partners if they do not cooperate in combating the fentanyl crisis and illegal immigration. He mentioned a 25% tariff on Mexico and Canada and a 10% tariff on China.

Trump had discussions with Mexican President Claudia Sheinbaum regarding these tariffs on Wednesday. Meanwhile, Canadian Prime Minister Justin Trudeau visited Mar-a-Lago on Friday to meet with Trump about the tariff concerns.

All three leaders described their meeting as productive, though they did not share specific outcomes. Trudeau returned to Canada without any pledges from Trump to back down from the proposed tariffs that could affect their major trading relationship, as reported by the AP.