Trump Trade News: U.S. Tariffs Threat for Countries Siding With BRICS as Deadline Looms

Trump signed a trade agreement with the U.K. back in May, but most other countries have yet to reach a deal. (Getty Images)

President Donald Trump entered a key week for his trade policy with a warning that countries choosing to align with the “Anti-American” policies of the BRICS group of countries will face an extra 10% tariff.

BRICS, an acronym coined by a Goldman Sachs economist two decades ago, stands for Brazil, Russia, India, and China.

The latest meeting took place over the weekend in Brazil. The joint statement published Sunday criticized Trump’s trade policy, saying “We voice serious concerns about the rise of unilateral tariff and non-tariff measures which distort trade.” It also condemned the Israeli and U.S. strikes against Iran.

“Any Country aligning themselves with the Anti-American policies of BRICS, will be charged an ADDITIONAL 10% Tariff,” Trump posted at about 10 p.m Eastern Time Sunday on his Truth Social site. “There will be no exceptions to this policy. Thank you for your attention to this matter!”

BRICS originated as a way to talk about emerging economies that, by virtue of their large populations, have the potential to grow rapidly and eventually become world heavyweights. That led these countries, as well as a few more including South Africa, Indonesia and Iran, to take on the moniker themselves. While not a formal bloc, they have held regular summits to discuss ways to work with each other.

Trump also said late Sunday that letters would be sent out today informing countries what their new tariff rates will be if trade deals aren’t reached. July 9–Wednesday–is when the 90-day reprieve granted in April is due to expire, but Treasury Secretary Scott Bessent said Sunday that tariffs will be reset on Aug. 1 if countries don’t get to a deal. Tariffs are currently set at a 10% baseline, but would revert to between 20% and 49%.

So far, only the U.K. and Vietnam have come to agreements for more permanent tariff rates. Bessent said that he expects a lot more deals to be announced over the coming days.

Write to Brian Swint at brian.swint@barrons.com