Despite attending a recent BRICS gathering in Brazil and being listed as a member on the group’s website, Saudi Arabia is reportedly holding off on formalizing its participation in the economic alliance.
Sources familiar with the matter told Reuters that Riyadh is treading carefully to avoid provoking Washington.
The hesitation underscores Saudi Arabia’s delicate balancing act between two powerful partners: China, its largest oil buyer, and the United States, its key supplier of arms and advanced technologies. At stake is a potential $100 billion weapons deal with the U.S., a relationship Riyadh is unlikely to jeopardize.
BRICS, originally founded in 2009 by Brazil, Russia, India, China, and South Africa, has been expanding its footprint. Last year, new members like Iran, Egypt, the UAE, and Ethiopia joined in a push to counter Western economic dominance. However, talk of developing a shared currency has raised alarms in Washington.
President Donald Trump, now leading the charge for a second term, has threatened to impose 100% tariffs on BRICS nations if they attempt to create an alternative to the U.S. dollar. In a December statement, he warned that any challenge to dollar supremacy would be met with severe trade penalties.
With tensions mounting over global economic alignments, Saudi Arabia appears in no rush to escalate a potential standoff—choosing, for now, to play it safe.
The trade standoff between the U.S. and China took a sharp turn on Friday after President Donald Trump accused Beijing of breaching a recently struck economic agreement.
Despite growing concerns over America’s swelling budget deficit, Citigroup’s U.S. equity strategist Scott Chronert believes the situation could bring short-term gains to the broader economy—even if it comes at a cost to market valuations.
Robert Kiyosaki, author of Rich Dad Poor Dad, is sounding a dire alarm over what he describes as the beginning of financial chaos in the U.S.—a scenario he believes will wipe out millions financially.
Billionaire investor Chamath Palihapitiya is sounding the alarm over a new piece of legislation that he believes could accelerate America’s financial decline.