What is BRICS and what is the relevance of the meeting based in Brazil?

Summit of the block meets in Rio de Janeiro under the challenge of facing protectionist measures of the nations developed while expanding its members and tries to circumvent internal disputes. BRICS reaches its 17th with dilemma between betting on multipolarization or being anti-chief voice Prime Minister Office/Zuma Press/Picture Alliance The leaders of the Brics economies, who are among the fastest growing in the world, gather in Rio de Janeiro between July 6 and 7 to strengthen the block in the face of US President Trump’s aggressive tariff policy, and other protectionist measures of the West. President Luiz Inacio Lula da Silva will host the bloc’s summit, the first since the creation of the group’s category of the group. Among the leaders present will be Indian Prime Minister, Narendra Modi, and his Chinese counterpart, Li Qiang. Russian President Vladimir Putin, who has an arrest warrant issued by the International Criminal Court (ICC) for alleged war crimes related to the Ukraine invasion, will not attend. DW summarizes the history of BRICS and the block’s plans to face the protectionism of the most developed nations. How did BRICS started? Goldman economist Sachs Jim O’Neill coined the term BRIC in 2001 to identify Brazil, Russia, India, and China as rapidly growing economies that had the potential to become global economic powers by 2050. The term highlighted the growth of Gross Domestic Product (GDP), large populations and the growing global influence of these countries. Despite differences in political ideologies and social structures, the policy formulators of the four countries began to work together, initially through informal conversations. The block ended up developing as a counterpoint to the G7, a group of developed economies composed by the United States, Canada, the United Kingdom, France, Germany, Italy and Japan. With the consolidation of negotiations, the first summit of the countries was held in Ekaterinburg, Russia, in 2009. A year later, South Africa was invited to the emerging block, adding “s” to “s” acronym BRICS. In a preparatory meeting, BRICS ministers have criticized the resurgence of Tomaz Silva Protectionism/Agency Brazil/DPA/Picture Alliance since then, the creation of BRICS has been described as a major challenge to the US -led political, economic and financial systems since World War II. Original members defend a multipolar world order and a larger voice for rapidly developing global countries in world affairs. Over time, the block has created an alternative to the World Bank, which funds infrastructure and development projects, as well as a new mechanism for providing financial support during economic crises, also rivaling the International Monetary Fund (IMF). BRICS policy formulators now discuss the possibility of launching an alternative to the US dollar in world trade. The proposal still develops slowly in the block, but annoyed Trump, who promised to overlax the groups of the group in retaliation. As he did in the G20, Brazil has brought to the BRICS discussion about the taxation of super rich and the criticism of American unilateralism and commercial protectionism. On the other hand, they face internal disputes on their anti-occident role. How has BRICS evolved to this day? The block has shown interest in incorporating other developing nations, especially those seeking greater alignment with rapidly growing economies. Today the block already has 10 countries. In addition to the five originals, Egypt, Ethiopia, Iran, United Arab Emirates and Indonesia also joined the group. Argentina was invited, but refused the adhesion. Although it remains an informal block, the Brazilian Center for International Relations (CEBRI) has classified BRICS as “the first transregional association of non -western states” in a preliminary report for the summit. Although it does not have a founding treaty, permanent administrative structure or formal thirst, BRICS has grown on paper to become a significant geopolitical and economic power. The block represents more than 40% of the world’s population and more than a third of global economic growth, based on the parity of purchasing power, surpassing the G7. Economic growth of BRICS Countries (1990–2024) DW/IMF BRICS countries also control significant commodity markets, including about 40% of global oil production, thanks to the role of its new members, such as Iran and United Arab Emirates. The block also controls almost three quarters of the global rare land inventory, according to the BRICS website. The block still advances in the research. According to CEBRI, BRICS nations recorded between 2009 and 2023 more than half of all world records of patents. Through its New Development Bank (NDB), BRICS approved more than $ 39 billion (R $ 210 billion) for 120 infrastructure, clean energy and sustainable development projects. The presidency of the block is rotating and changes each year. Leaders have been undergoing reforms at global institutions such as the UN, IMF and World Bank Security Council. Mutual trade among members also advances and has already exceeded $ 1 trillion ($ 5.4 trillion), informs the site. Intra-Brick trade shifts are increasingly made in local currencies and alternative payment systems to the Society for Worldwide Interbank Financial Telecommunication (SWIFT) supported by the West. However, plans for a BRICS currency have faced internal obstacles due to the resistance of some members, especially India, concerned with China’s economic dominance. Who else wants to enter BRICS? BRICS is about to grow exponentially, with 44 countries having formally requested adhesion or taken measures to join the block. In its last summit, in October 2024, the group created the category of partner country, a prelude to formal adhesion. Under the name BRICS+, they gained this belarus status, Bolivia, Kazakhstan, Cuba, Malaysia, Nigeria, Thailand, Uganda and Uzbekistan. Brazilian presidency should reinforce request for reform in international decision -making bodies Eraldo Peres/AP/Picture Alliance Other nations showing interest in entering include azerbaijan, bahrain, bangladesh, burkina faso, cambodia, chad, colombia, the republic of Congo, Equatorial Guinea, Honduras, Laos, Kuwait, Morocos, Mianmar, Mianmar Nicaragua, Pakistan, Senegal, South Sudan, Sri Lanka, Syria and Zimbabwe. Saudi Arabia, which has strong ties with the United States, should enter BRICS last year, but ended up not making a final decision. The group’s website, however, still lists the country as a member. Türkiye’s plan to enter was vetoed by India, which rejects the bonds near Ankara with Pakistan. Already the plan of Venezuela was vetoed by Brazil. What are the next Brics steps? Analysts evaluate that changing multipolar relations in the face of American protectionism can give BRICS more power to challenge global institutions led by the West. On the other hand, the group’s internal divisions and national interests can disrupt their progress. China and Russia, for example, actively position BRICS as a counterweight to Western hegemony, while India and Brazil prioritize economic cooperation over geopolitical confrontation, which creates tensions within the bloc. The entry of new members also generates friction. In addition to the border dispute already between China and India, rivalries between Saudi Arabia, if you enter, and Iran, or between Egypt and Ethiopia through the Nile, can make consensus difficult on political issues and dilute the block’s ability to advance their interests. China’s root of the dollar and restrictions of China to the use of Yuan in international trade can make it difficult to decolarize, seen by some more like an attempt by Beijing and Moscow to circumvent western sanctions than a realistic strategy for a new reserve currency. Internal disputes between countries make it difficult for the China Daily/Reuters group to the US and the European Union imposed punitive measures on Russia after the Ukraine invasion of 2022, and Iran’s economy is also impaired by sanctions related to the Tehran nuclear program and Israel conflict. Other countries support plans for an alternative financial system to protect themselves if they face similar sanctions in the future, analysts say. Economic disparities among members represent another challenge as the block grows. China’s GDP is far superior to South Africa, for example, or the latest members, such as Ethiopia, which gives Beijing power to direct the bloc’s priorities. There are also growing concerns about how democracies like India and Brazil can align with autocracies such as China, Iran and Russia. Economist Jim O’Neill, who coined the term BRIC, now considers the group a failed project. In November, he wrote that Brics “serves no real purpose other than generating symbolic gestures and grand rhetoric.” BRICS Chancellers prepare response to the tariff

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