Expanded BRICS Alliance Meets in India to Strengthen Local Currency Trade and De-Risk Supply Chains

Expanded BRICS Alliance Meets in India to Strengthen Local Currency Trade and De-Risk Supply Chains

2026-09-12 global

New Delhi, Saturday, 12 September 2026.
Meeting in New Delhi, the expanded 11-member BRICS bloc—now representing nearly half of the world’s population—is focusing on local currency trade and financial mechanisms to de-risk global supply chains.

Expanded BRICS Alliance Meets in India to Strengthen Local Currency Trade and De-Risk Supply Chains

Leaders from the 11-member BRICS alliance gathered in New Delhi, India, on September 12, 2026, for the 18th annual summit [1][2]. The bloc, which expanded to include Egypt, Ethiopia, Iran, Saudi Arabia, UAE, and Indonesia alongside the original members, now represents approximately 49% of the global population [1][2]. Security measures included the deployment of 30,000 additional personnel around diplomatic accommodations for the two-day event concluding on September 13, 2026 [1]. Key discussions focus on establishing local currency trade mechanisms and securing supply chains amidst global instability [2][5]. Russian President Vladimir Putin emphasized that the bloc favors its own interests rather than an anti-Western stance, while Iranian President Masoud Pezeshkian advocated for expanding national currency use to shield against sanctions [2]. Experts note that while de-dollarization is discussed, substituting the US dollar remains unlikely in the immediate term [1].

Geopolitical Fractures and Internal Divisions

The summit agenda addresses significant geopolitical upheaval, including the US-Israeli war on Iran and the ongoing conflict in Ukraine [1][5]. Internal friction persists due to these conflicts, alongside clashes between Saudi Arabia and Iran-backed Houthis in Yemen [1]. In August 2026, the UAE announced an indefinite trade embargo on Iran following strikes that killed 15 people, highlighting regional tensions [5]. Bilateral talks between Indian Prime Minister Narendra Modi and Chinese President Xi Jinping are scheduled for September 12, 2026, to address strained relations following the 2020 Himalayan border clash [2][7]. President Xi Jinping marked his first visit to India in seven years, stating that the war in the Middle East does not serve common international interests [5][7]. Experts suggest this summit offers a chance to resolve differences despite frosty relations [5].

US Policy and Tariff Threats

US foreign policy under President Donald Trump has characterized the grouping as anti-American, with previous threats of 100% tariffs against nations supporting a currency replacement [7]. BRICS finance ministers have formally objected to US-imposed tariffs, citing inconsistencies with World Trade Organization rules [5]. Despite this, India is in the final stages of a trade deal with the US, preventing a unified BRICS stance against American policy [7]. The primary motivation for members is pursuing strategic autonomy and insulation from US-led supply-chain disruptions rather than outright confrontation [7]. Experts characterize the group as a flexible entity prioritizing multipolarity despite internal disagreements [5]. Analysts indicate that managing disagreement while pursuing practical cooperation is the key test for the alliance [5].

Sources


Global Trade BRICS Summit