Rio de Janeiro (Brazil) (AFP) – BRICS leaders descended on sunny Rio de Janeiro Sunday, ready to issue a dark warning that US President Donald Trump’s “indiscriminate” import tariffs risk hurting the global economy. The 11 emerging nations — including Brazil, Russia, India, China, and South Africa — represent about half the world’s population and 40 percent of global economic output. The bloc is divided about much, but has found common cause when it comes to the mercurial US leader and his stop-start tariff wars.
The BRICS are set to voice “serious concerns about the rise of unilateral tariff and non-tariff measures,” warning they are illegal and arbitrary, according to a draft summit statement obtained by AFP. In April, Trump threatened allies and rivals alike with a slew of punitive duties, but abruptly offered a reprieve in the face of a fierce market sell-off. Trump and his Treasury Secretary, Scott Bessent, have warned they will again impose unilateral levies on partners unless they reach “deals” by August 1.
The BRICS will warn that such moves break world trade rules, “threaten to further reduce global trade,” and are “affecting the prospects for global economic development.” The draft summit declaration does not mention the United States or its president by name, but it is a clear political volley directed at the occupant of 1600 Pennsylvania Avenue. The Peterson Institute for International Economics, a Washington think tank, estimates Trump’s tariffs could trim about two points off US GDP and hit economies from Mexico to the oil-rich Arabian Gulf.
Conceived two decades ago as a forum for fast-growing economies, the BRICS have come to be seen as a Chinese-driven counterbalance to Western power. But as the group has expanded to include Iran, Indonesia, and others, it has struggled to reach meaningful consensus on issues ranging from the Gaza war to reforming international institutions.
The political punch of this year’s summit has been depleted by the absence of China’s Xi Jinping, who is skipping the meeting for the first time in his 12 years as president. The Chinese leader will not be the only notable absentee. War crime-indicted Russian President Vladimir Putin is also opting to stay away, but participated via video link. He told counterparts that the influence of BRICS “continues to grow” and said the bloc had become a key player in global governance.
Still, Xi’s no-show is a blow to BRICS and to host President Luiz Inacio Lula da Silva, who wants Brazil to play a bigger role on the world stage. On Sunday he welcomed leaders to Rio’s stunning Guanabara Bay, telling them that multilateralism was under attack while hitting out at NATO and Israel, among others. He accused the trans-Atlantic defense organization of fueling an international arms race through a pledge by members to spend five percent of GDP on defense. “It is always easier to invest in war than in peace,” he said, while accusing Israel of carrying out a “genocide” in Gaza.
Iran’s President Masoud Pezeshkian, whose nation is still reeling from a 12-day conflict with Israel, is also skipping the meeting, but he was represented by Foreign Minister Abbas Araghchi. A source familiar with summit negotiations said Iran had sought a tougher condemnation of Israel and the United States over their recent bombing of Iranian military, nuclear, and other sites. But one diplomatic source said the text would give the “same message” that BRICS delivered last month. Then Tehran’s allies expressed “grave concern” about strikes against Iran, but did not explicitly mention Israel or the United States.
© 2024 AFP
