BRICS Rising: How Tariffs, Threats, and Dollar Dominance Are Fueling a Multipolar Future

Prepared by Integritas Investment Partners

Executive Summary

Despite aggressive rhetoric from former U.S. President Donald Trump—claiming “BRICS is dead” and threatening punitive tariffs—the BRICS alliance is not weakening; it is accelerating. At the recent Brazil summit, BRICS gathered 10 full members and 10 partner nations, expanding its reach and influence. The coalition is advancing strategies to reduce dependence on the U.S. dollar, promote trade in local currencies, and foster a multipolar global order that challenges Western hegemony.

This white paper analyzes the implications of BRICS’ continued rise, the risks to the dollar-dominated financial system, and what these developments mean for investors, policymakers, and institutions.

Introduction: The Narrative vs. Reality

During a recent appearance, Donald Trump declared that “BRICS is dead,” positioning his administration against what he described as a “hostile economic bloc.” He proposed steep tariffs on BRICS members and partner nations to deter trade realignment away from the U.S. dollar.

Yet, the data contradicts this narrative. BRICS is stronger than ever, growing in both size and strategic cooperation.

BRICS Expansion and Strategic Goals

Membership Growth

• BRICS now includes 10 full members and 10 official partners, representing over 45% of global population and nearly 35% of global GDP.

• New members include resource-rich nations like Saudi Arabia, UAE, and Egypt, which strengthen BRICS’ influence over energy, logistics, and financial flows.

Key Objectives

• De-dollarization: Reduce dependency on the U.S. dollar by increasing settlement in local currencies.

• Infrastructure Financing: Expand the BRICS New Development Bank as an alternative to the IMF and World Bank.

• Multipolar Governance: Reform global financial institutions to reflect a balance of power rather than Western dominance.

The Push Away From the U.S. Dollar

BRICS nations have been accelerating de-dollarization strategies:

• Bilateral trade settlements in Chinese yuan, Indian rupees, and Brazilian reais.

• Development of digital currency platforms to facilitate cross-border payments.

• Exploration of a potential BRICS Reserve Currency backed by a basket of commodities, including gold.

This movement signals a gradual erosion of U.S. monetary dominance and the petrodollar system—especially with key oil producers now inside BRICS.

Tariffs That Backfired

Trump’s proposal of 10% blanket tariffs on BRICS and aligned nations aimed to protect U.S. interests. However, the response has been counterintuitive:

• BRICS leaders tightened cooperation and accelerated trade agreements.

• Countries like Brazil and India openly criticized U.S. “economic coercion.”

• Tariffs are perceived as an attempt to maintain dollar supremacy rather than address equitable trade relationships.

In effect, Washington’s threats are pushing BRICS members closer together.

Global Pushback and Institutional Reform

BRICS leaders argue that global institutions are outdated:

• The UN Security Council, IMF, and World Bank disproportionately favor the U.S. and Europe.

• Calls are growing for restructuring voting rights and expanding representation for the Global South.

• Brazil’s President Lula da Silva and South Africa’s leadership both stress that “the multipolar future is irreversible.”

Geopolitical and Investment Implications

For Governments

• U.S. policymakers face a rapidly changing trade ecosystem where bilateral and multilateral trade bypasses Washington.

• Tariff escalation risks global supply chain fragmentation.

For Investors

• Accelerating dedollarization points toward:

  • Gold and commodity-backed assets as hedges.

  • Increased relevance of emerging market currencies.

  • New opportunities within BRICS’ infrastructure, energy, and digital payment systems.

For Institutions

• Financial intermediaries must adapt to multi-currency settlement frameworks and alternative banking structures.

Conclusion: The Multipolar Shift Is Here

Attempts to contain BRICS’ influence through tariffs and sanctions have strengthened, not weakened, the bloc’s resolve. As trade realigns away from the U.S. dollar, global power structures are shifting toward a multipolar order, with BRICS at the forefront.

For stakeholders—investors, businesses, and policymakers—the ability to navigate this transition will define long-term success in the new geopolitical economy.