BRICS: Here’s How Trump’s Reciprocal Tariffs Will Impact The US Dollar

Since his return to the White House, US President Donald Trump has sought to end global de-dollarization. In pursuit of that, he has targeted the BRICS alliance with 150% tariffs, as Trump is now set to levy reciprocal tariffs on the entire world, with the US dollar bound to be affected.

Since his election win in late 2024, he has placed a massive target on the BRICS bloc. Specifically, he sought to end any talks of local currency promotion within the global south. However, this move is less about the status of the greenback and more about balancing global trade. So, what impact will it have on the asset?

Also Read: BRICS President Eyes Increased De-Dollarization as US Trade War Lingers

BRICS & The World to Face Trump Tariffs on US ‘Liberation Day’: How Will the US Dollar Respond?

US President Donald Trump has been hyping up his April 2nd announcement as the country’s ‘Liberation Day.’ The administration is set to unveil a string of tariffs that seek to balance global trade, with nations like Israel and India already announcing an end to their tariffs on US goods to curtail the action.

Now, more than just the BRICS bloc is targeted by these Trump reciprocal tariffs, so the question is, just what will they do to the US dollar? Indeed, the returning president has continuously sought to secure the greenback’s status. Yet, the economic policy is bound to affect it internationally.

Also Read: BRICS Nation Turns to North Korea: Could Membership Be Nearing?

Rather surprisingly, the US dollar is expected to stabilize over the coming months, according to a Reuters report. However, it is still set to be affected by “mounting worries about the economic impact of President Donald Trump’s erratic tariff announcements,” strategists told the publication.

“Over one-third of strategies surveyed in the past few days also expressed concern about the greenback’s traditional role in the currency market as a safe haven,” they added. Indeed, the aggressive policy could threaten the currency in a myriad of ways.

Just this week, BlackRock CEO Larry Fink expressed concern regarding the US dollar’s status. Specifically, he noted that Bitcoin’s rise could affect it. Interestingly enough, Trump has been the driving force of that rise. Altogether, the dollar could be subject to increased pressure, proving the BRICS bloc right in its continued de-dollarization efforts.