Brazil and BRICS Respond to US Trade Aggression and Threats to Venezuela?
Brazilian President Luiz Inácio Lula da Silva has initiated an emergency meeting of BRICS leaders to discuss the growing tariffs imposed by the United States and their impact on international trade. This initiative has been supported by other member countries against a backdrop of Washington's accusations against India for its purchases of Russian oil, as well as new threats against the Venezuelan government.
How Does Brazil Plan to Respond to US Policy?
Lula da Silva's initiative to convene an extraordinary BRICS summit, scheduled for Sept. 8 in a virtual format, is a direct response to increased trade aggression from the US. As Jose Victor Ferro, a research assistant at the Barcelona Institute of International Studies (IBEI), stated, this initiative is of interest to all BRICS members, particularly China and India, as they also face "excessively high and arbitrary" tariffs from the US. Advisor to the Brazilian head of state, Celso Amorim, confirmed that Chinese President Xi Jinping will participate in the summit.
Brazil aims to maintain "strategic autonomy" between the West and the East, using BRICS as a platform to reform existing multilateral institutions. Deputy Reymont Otoni called for BRICS to provide a consolidated response to increased US military escalation near Venezuela's coast, viewing it as a threat to stability across Latin America.
Why Is the US Imposing Tariffs Against India?
Donald Trump expressed his dissatisfaction with India's decision to continue purchasing large volumes of Russian oil. US Commerce Secretary Howard Latnik stated that India has so far refused to open its domestic market to American goods, cease Russian oil purchases, and leave BRICS. These factors were among the reasons why Washington imposed a 50% tariff on Indian goods.
The US had previously imposed an additional 25% tariff on imports from India, increasing the total rate to 50%, which represents one of Washington's highest tariffs. This decision is linked not only to Russian oil purchases but also to the failure of five rounds of trade negotiations with New Delhi.
What Will Be BRICS's Response to US Trade Policy?
The BRICS summit is scheduled for Sept. 8, where the organization's response to US trade tariffs will be determined. As Jose Victor Ferro noted, one potential step for the bloc could be to increase trade in national currencies.
"What the Brazilian government is doing, convening a meeting with other BRICS heads of state, is an initiative that is of interest to all members of the bloc. Especially China and India," said Ferro.
The strengthening of BRICS aims to: * Strengthen common markets. * Create alternatives to the dollar and the US-European financial system. * Increase intra-member investment in national currencies.
According to experts, the Trump administration's policies are effectively weakening the US position, pushing other countries, including India, towards closer ties with BRICS and China. Laos Prime Minister Sonxay Siphandone announced his intention to increase coffee exports to Russia due to increased US tariffs on Lao products. These steps demonstrate a growing trend towards multipolarity in the global economy, where the unipolar order of American economic hegemony is being challenged.