Trump threatens 10% tariff on Nigeria over BRICS alignment

Summary

• Trump announces additional 10% tariff for countries backing BRICS, naming Nigeria
• Move could increase Nigeria’s export costs and strain already fragile economy
• Nigeria’s government yet to respond as trade negotiations continue ahead of August deadline

Washington D.C. – The United States under President Donald Trump has threatened to impose an additional 10% tariff on exports from Nigeria and other countries aligning with the BRICS bloc, a move that could further strain Nigeria’s fragile economy and escalate global trade tensions.

Announcing the policy on 6 July 2025 via his Truth Social platform, Trump warned that nations supporting what he described as the “anti-American policies” of BRICS would face tariffs “with no exceptions.” Nigeria was explicitly named following its participation in the 17th BRICS Summit in Rio de Janeiro, its first as a partner country since formally joining the bloc in January 2025.

The proposed tariff would be layered on top of the existing 14% U.S. import tax on Nigerian goods introduced earlier this year, potentially raising total charges on key exports such as crude oil, cocoa, and sesame seeds to 24%. The tariff is set to come into force on 1 August 2025, though a window remains open for trade negotiations that could avert its full implementation.

BRICS, originally comprising Brazil, Russia, India, China, and South Africa, has expanded to include countries such as Egypt, Ethiopia, and Saudi Arabia, and has increasingly promoted economic cooperation among the Global South. The bloc’s recent summit declaration criticised Western tariffs and supported de-dollarisation, local currency trade, and alternative financial systems, stances likely to have triggered the U.S. warning.

While Trump did not specify which BRICS policies he considered “anti-American,” analysts believe the condemnation of military strikes on Iran and infrastructure attacks in Russia, as well as criticism of U.S. trade practices, may have contributed to the U.S. response.

A Reuters report suggests that the Trump administration might apply the tariff conditionally, based on whether individual countries are deemed to have taken “hostile actions” against U.S. interests, though no clear definition of such actions has been provided.

Nigeria’s economy, already battling inflation at 27.5% and sluggish GDP growth, is highly reliant on oil exports, over 90% of which generate its foreign exchange earnings. With the U.S. being one of Nigeria’s top trading partners and bilateral trade estimated at $10 billion annually, the threatened tariff could reduce the competitiveness of Nigerian exports, worsen consumer prices, and delay economic recovery.

Despite the looming threat, Nigeria’s government, led by President Bola Tinubu, has yet to issue an official response as of the evening of 7 July. The administration may face mounting pressure to pursue a diplomatic resolution in order to shield the economy from further shocks.

Online reactions in Nigeria have ranged from scepticism to concern. While some users on X questioned the rationale behind aligning with BRICS given Nigeria’s limited industrial capacity, others warned of potential economic fallout if the tariff is enacted.

With the Trump administration set to send out formal letters outlining trade adjustments this week and a final decision expected by 1 August, the next few weeks will be critical in determining whether Nigeria can negotiate a reprieve, or will be forced to absorb another economic hit in an increasingly complex global trade landscape.