Finance and trade ministers from the BRICS nations—Brazil, Russia, India, China, South Africa, and new members Egypt, Ethiopia, Iran, Saudi Arabia, and the UAE—met in São Paulo, Brazil, on April 27, 2025, to strategize responses to U.S. President Donald Trump’s proposed trade policies for his second term, set to begin in January 2025.
The emergency summit, hosted by Brazilian President Luiz Inácio Lula da Silva, focused on countering Trump’s threats of 25% tariffs on BRICS exports and a 10% universal import tax, which could disrupt $1.2 trillion in annual trade, as reported by Reuters and AP News.
Trump’s campaign pledges, reiterated in a March 2025 speech, aim to boost U.S. manufacturing by imposing tariffs and freezing BRICS countries’ access to U.S. markets unless they curb currency manipulation, per the U.S. Trade Representative. China, which accounts for 40% of BRICS’ $4.5 trillion GDP, faces the steepest impact, with $500 billion in U.S. exports at risk. Brazil, reliant on soybean and beef exports, could lose $20 billion annually, while India’s IT and pharmaceutical sectors brace for disruptions, per Brazil’s Ministry of Economy. The ministers explored retaliatory measures, including tariff hikes on U.S. goods and deepening intra-BRICS trade, which rose 15% to $700 billion in 2024.
Lula urged the bloc to accelerate its de-dollarization agenda, expanding the use of local currencies and the New Development Bank, which has $100 billion in capital, to finance infrastructure, per AP News. Russia and China pushed for a BRICS digital currency, though India and Saudi Arabia expressed caution, citing technical hurdles. The summit also addressed Trump’s threat to block BRICS’ WTO privileges, prompting a joint commitment to reform global trade rules. South Africa’s trade minister, Parks Tau, emphasized diversifying supply chains to reduce U.S. reliance, per Reuters.
The meeting, held ahead of the BRICS summit in Kazan, Russia, in October 2025, reflects growing tensions as Trump’s policies challenge the bloc’s 20% share of global GDP. Analysts warn that a U.S.-BRICS trade war could raise global inflation by 2%, impacting food and energy prices. The ministers agreed to reconvene in June 2025 to finalize a unified stance, signaling a pivotal moment for BRICS in navigating a shifting economic order.