Trump vows 100% tariff on nations ditching the dollar

Former U.S. President and Republican candidate in the November presidential election, Donald Trump, announced during a rally in Wisconsin that, if he wins the election, he will impose a 100 per cent tariff on goods from countries that abandon dollar-based trade, Bloomberg reported.

- You leave the dollar, and you're not doing business with the United States because we are going to put a 100% tariff on your goods - Donald Trump announced during Saturday's meeting with voters in the northern U.S. state.

This statement follows months of discussions between Trump and his economic advisors on how to punish countries that seek ways to engage in international trade in currencies other than the dollar - the agency noted.

Trump, who has long advocated for protectionist trade policies, assessed that the dollar has been "under major siege" for eight years. Bloomberg noted that China, India, Brazil, Russia, and South Africa are leading discussions on ways to "de-dollarise" global economic relations.

Trump has said he wants the dollar to remain the world’s reserve currency, a pledge he renewed at Saturday’s rally - the agency added.

The International Monetary Fund stated that in the first quarter of 2024, the U.S. currency still comprised 59 per cent of official global currency reserves. The euro came in second with 20 per cent.

Wisconsin is one of the swing states, playing a crucial role in the electoral race between Trump and Democratic candidate Kamala Harris. The U.S. presidential election will take place on November 5, 2024.