External Affairs Minister to join Brazil-led BRICS virtual summit on U.S. tariffs: MEA , Pg10

Key Highlights:

• External Affairs Minister S. Jaishankar will represent India at the BRICS virtual summit convened by Brazil President Lula da Silva to discuss U.S. tariffs.
• The summit follows Prime Minister Modi’s visit to China for the SCO summit and conversations with Chinese President Xi Jinping and Russian President Vladimir Putin.
• The U.S. imposed 50% tariffs on goods from Brazil and India, the highest levies worldwide.
• India is the next Chair of the BRICS grouping, which now includes Egypt, Ethiopia, Indonesia, Iran, Saudi Arabia, and the United Arab Emirates.

Detailed Insights:

• President Lula da Silva called Prime Minister Modi after the U.S. tariffs were imposed on August 6 to rally support for a common plan.
• The summit aims to strengthen multilateralism to counter the effects of unilateral economic measures, specifically the U.S. tariffs on BRICS nations.
• China and South Africa face 30% tariffs, while Indonesia faces 19% tariffs with waivers for key agricultural exports.
• Russia and Iran, heavily sanctioned countries, face the lowest 10% tariffs from the U.S.
• The BRICS expansion reflects a move towards greater economic cooperation among emerging economies and a potential counterweight to Western economic policies.

Key Concepts Involved:

• Tariffs: Taxes imposed on imported goods, increasing their price and potentially protecting domestic industries.
• Multilateralism: Multilateralism is a system of international cooperation where multiple countries work together through institutions or agreements to address global issues, promote peace, trade, and collective decision-making.
• Unilateralism: Unilateralism is a policy approach where a country independently makes and implements decisions or actions in international affairs, without seeking consent or cooperation from other nations or organizations.