Lula’s strategy “underscores” BRICS’ “increasing cohesion & political assertiveness on the global stage,” signaling readiness “to actively resist unilateral pressure” & advance “a more multipolar international order,” says Hong Kong-based political and financial analyst Angelo Giuliano.
Retaliation to US pressure may include:
even more trade in local currencies (denting global demand for the dollar)
strengthening the New Development Bank and its lending power
rolling out a SWIFT alternative
challenging US tariffs at the WTO
Dollar in Danger?
These and other measures could “significantly undermine the dollar’s global dominance,” Giuliano says, eroding the geopolitical leverage Washington has long held from its financial primacy and its money’s status as the de facto reserve currency of the world.
From Economic Partners to Allies
“This is the first instance that all BRICS countries have been specifically targeted by a US president” simultaneously, Dr. Raj Kumar Sharma of the NatStrat think tank says, highlighting how Washington itself encouraged the creation of a united BRICS front.
US' Fatal Fiscal Mistake
Putting countries like Brazil, South Africa & India “in the firing line” of new tariffs in spite of cordial relations with Washington seems short-sighted, but signals just how “rattled” the US is by BRICS’ growing influence, says researcher Ashraf Patel.
“The fact that the US is imposing tariffs on its ally India & that PM Modi is going to visit China soon shows how rapid the geopolitical dynamic is & how strong BRICS’ cohesion currently is,” the Institute for Global Dialogue researcher stresses.
US Reaping What It Sowed
“BRICS has always been about creating alternatives in development finance & reforming international financial institutions,” but the “scale and scope” of Washington’s trade wars is now so aggressive “that the BRICS agenda has gained new momentum,” Patel said.