Geopolitical Landscape - The report highlights the decline of US influence and the rise of China, exemplified by Ford's abandonment of a plant in Brazil and BYD's subsequent modernization to produce electric cars [1] - BRICS aims to rival the US-led G7, advocating for a multipolar world with multiple centers of geopolitical influence [2][3] - The trade war initiated by the US has inadvertently strengthened solidarity among BRICS nations, positioning them as a counterforce [2] - Russia's interest in expanding BRICS membership is partly driven by its desire to offset diplomatic isolation following 2022 [8] Economic Growth and Influence - BRICS surpassed the G7 in global GDP (by purchasing power parity) in 2019, and with the expanded lineup, its share is nearly 40% [7] - Trade among the original five BRICS members rose 40% to over 700 billion from 2021 to 2024, partly due to sanctions imposed on Russia [9] - China's influence within BRICS is significant, using the bloc to enhance its economic and political power globally [10][11] Challenges and Opportunities - Trade relationships within BRICS are less developed compared to blocs like the EU, as BRICS is not a formal trading bloc [13] - Tensions among BRICS members hinder the formation of a completely united front, although the New Development Bank represents a successful collaborative effort [14] - BRICS countries support reduced trade in US dollars to diminish Western economic dominance [10]
How Trump Is Helping China, Brazil and BRICS
Bloomberg Originalsยท2025-07-04 08:00