he is President-elect Donald Trumpthreatening to force this Saturday duty 100 percent to a bloc of nine nations if they act instead of the US dollars.
Trump directed his threat to the so-called countries alias BRICmade up of Brazil, Russia, India, China, South Africa, Egypt, Ethiopia, Iran y United Arab Emirates.
Türkiye, Azerbaijan and Malaysia have applied to become members, and several other countries have expressed interest in joining.
Although the US dollar is the most widely used currency in global business and has survived previous challenges, alliance members and other developing countries say that they are tired of US leadership in the the global financial system.
In a post on Truth Social, Trump said: “We want a commitment from these countries that they will not create a the new BRICS currencyand they will not support any other currency in place of the mighty US dollar, or oppose 100 percent tariffs, and should forget about selling into the wonderful US economy.”
Russia Challenges the US: Trying to Create a New Payment System
At the top of BRIC countries in October, Russian President Vladimir Putinhe accused the United States of “weaponizing” the dollar and described the fact as a “big mistake”.
“We are not the ones who refuse to use the dollar,” Putin said at the time. “But if they don’t let us work, what can we do? “We have to look for other options.”
Russia has pushed especially for the creation of a new payment system which would provide an alternative to a global network of SWIFT banking messages and would allow Moscow to circumvent Western sanctions and trade with its partners.
Trump said there is “no chance” that the BRIC block replace the US dollar in global trade, and that any country that tries to do so should say “goodbye to the United States.”
2024-12-01 00:19:00
#Mexico #Trump #threatens #tariff #BRICS #countries #replace #dollar
## Will Trump’s Threat to Impose Tariffs Cripple Mexico’s Auto Industry?
**World-Today-News Exclusive Interview with Dr. Maria Rodriguez, International Trade Expert**
**World-Today-News:** Dr. Rodriguez, President-Elect Trump has threatened to impose a 100% tariff on imports from Mexico if the country doesn’t abandon its use of the US dollar in international transactions. how realistic is this threat,and what potential impact could it have on Mexico’s critical automotive industry?
**Dr. Rodriguez:** The threat is certainly alarming, and while it’s challenging to predict exactly what Trump will do once in office, his history of strong pronouncements suggests he’s serious.
Imposing a 100% tariff on all Mexican imports would be an unprecedented move with far-reaching consequences. It would undoubtedly trigger a major trade war, hurting both the US and Mexican economies.
Specifically for Mexico’s automotive industry, which is deeply integrated with the US market, the impact would be devastating. We’re talking about major car manufacturers like General Motors, Ford, and Volkswagen, who have significant production facilities in Mexico, producing vehicles for both domestic and US markets. A 100% tariff would make their products exorbitantly expensive in the US, likely leading to production shutdowns, job losses, and a severe downturn in the Mexican economy.
**World-Today-News:** You mentioned the integrated nature of the north American automotive industry. Could Mexico retaliate with tariffs of its own?
**Dr. Rodriguez:** Absolutely. Mexico could respond in kind with counter-tariffs on US goods, possibly targeting industries like agriculture or energy. This would further escalate the trade war, creating a lose-lose situation for both countries.
**world-Today-News:** What are some possible scenarios for resolving this situation?
**Dr. Rodriguez:** One possibility is that Trump’s rhetoric is intended more as a negotiating tactic. He might potentially be attempting to leverage Mexico into making concessions on other issues, such as border security or immigration. In this scenario, a compromise could be reached where Mexico agrees to some measures in exchange for a less severe, or even retracted, tariff.
However, Trump’s unpredictable nature makes it difficult to gauge his intentions.
Another possibility is that Mexico could attempt to diversify its trading partners, reducing its reliance on the US. This would be a long-term strategy requiring significant investment and adjustments.
Ultimately,the outcome depends on a complex interplay of economic,political,and diplomatic factors.
**World-Today-News:** what advice would you offer to Mexican businesses operating in the automotive sector?
**Dr. Rodriguez:** Uncertainty will likely linger for some time. Businesses should closely monitor developments, prepare contingency plans, and explore alternative markets. Diversification and building strong relationships with other countries could be crucial for mitigating the potential damage of a potential trade war.
