India is set to assume the chairmanship of BRICS from January 1, 2026. This comes at a pivotal time when the US tariff policy has brought powerful nations like India, China, and Russia even closer. US President Donald Trump's earlier threat this year to impose 100 percent tariffs on BRICS member countries has intensified the perceived threat from the BRICS bloc to the United States, while this policy is inadvertently fostering greater unity among BRICS nations, propelling them to collectively challenge established global hegemonies.
BRICS's Expanding Agricultural Footprint
According to a report, BRICS allies are Importantly increasing their contributions to the agricultural sector. This initiative extends beyond merely meeting current demands; concrete steps are being taken to ensure future food security. BRICS countries are formulating solid policies aimed at achieving self-sufficiency in food supplies, thereby enhancing their bargaining power in global food markets. This concerted effort is poised to solidify BRICS's role in global food security and resilience.
Broadening Partnerships Across Sectors
BRICS nations aren't limiting their collaboration to agriculture alone; they're actively expanding. Their partnerships across diverse sectors, including trade, technology transfer, and global climate change initiatives. This comprehensive cooperation aims to foster a multipolar world order where the dominance of the US dollar is diminished, while experts are predicting a substantial blow to US dominance by the end of 2026, with American global influence expected to wane Notably as BRICS countries collectively assert their growing power and influence on the international stage.
The Looming Threat to Dollar Hegemony
A report highlights that crude oil production, gold reserves, solid economic status, and self-sufficiency in food grains are critical factors determining global bargaining power. The BRICS group, currently comprising eleven nations, plays a significant role in all these areas. For several years, these countries have been actively working to dislodge the US dollar from its central role in global trade and finance, thereby posing a substantial threat to its long-standing hegemony as the world's primary reserve currency.
BRICS's Strong Hold on Crude Oil Production
According to the report, approximately 42 percent of the world's crude oil production originates from BRICS member countries. This significant share positions the BRICS group as a crucial player in the global energy market. The current 11 BRICS member nations include India, China, Russia, Brazil, South Africa, Egypt, Ethiopia, Iran, Saudi Arabia, the United Arab Emirates, and Indonesia, while collectively, this formidable group contributes 29 percent to the global GDP, underscoring its escalating economic prowess and influence.
Strengthening Ties Between Russia, China, and India
China, India, Brazil, and Russia, all integral members of BRICS, are recognized as major global economies, while the US tariff policy is now further strengthening the ties between Russia, China, and India. This growing collaboration among these key nations is creating new challenges for the United States, as their combined economic and geopolitical weight increases.
Local Currency Trade: A Major Blow to the US
In a significant move to challenge the US dollar, BRICS nations have officially sanctioned trade in local currencies, specifically mentioning rupee-denominated trade among member countries, while this decision is regarded as a major blow to the United States, as it directly undermines the dollar's status as the global reserve currency. This strategic shift will enable BRICS nations to insulate their economies from the direct impact of US policies and marks the beginning of a new era in global trade dynamics.
