Explore how BRICS and G7 are reshaping global power in 2025. From economics to geopolitics, here’s how these two blocs influence the future world order.
BRICS vs G7: Shifting Global Alliances in 2025
BRICS vs G7 in 2025: How Global Alliances Are Being Redrawn
Introduction: A World in Realignment
In 2025, the world stands at a geopolitical crossroads. The once clear lines between East and West, rich and poor, developed and emerging, are now blurred by new realities. At the heart of this transformation are two heavyweight blocs: the Group of Seven (G7) — representing the world’s leading industrialized democracies — and BRICS, an expanding coalition of emerging powers.
As economic, technological, and political influence shifts, BRICS vs G7 has become a defining storyline of the 21st century. Are we witnessing the birth of a multipolar world order, or simply new forms of old power structures?
This article dives deep into the history, strengths, ambitions, and rivalries of BRICS and G7, and how their competition shapes our shared future.
1. The Origins: What are G7 and BRICS?
G7: The Club of Developed Economies
The Group of Seven (G7) originated in the 1970s amid global oil shocks and financial turmoil. Initially a forum for the six largest advanced economies (US, UK, France, Germany, Italy, Japan), it later included Canada.
Core purpose:
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Coordinate macroeconomic policies
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Discuss global security, trade, democracy, and development
G7 nations represent:
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~30% of global GDP (down from ~50% in the 1990s)
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Dominance in technology, military alliances (like NATO), and financial institutions (IMF, World Bank).
BRICS: A Rising Alternative
BRICS started as an economic acronym coined by Goldman Sachs in 2001 (BRIC: Brazil, Russia, India, China) predicting the rise of emerging markets. It became a political club in 2009, with South Africa joining in 2010.
Core ambitions:
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Reform global governance to reflect rising powers
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Reduce Western economic dominance
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Build alternative institutions (like New Development Bank)
In 2023–2024, BRICS expanded to include Saudi Arabia, UAE, Iran, Egypt, Ethiopia, and Argentina, signaling a bold new phase.
2. Numbers Game: Comparing Economic Clout
| Metric | G7 | BRICS (2025) |
|---|---|---|
| Members | 7 | 11 |
| Share of Global GDP | ~30% | ~33% (PPP-adjusted) |
| Population | ~770 million | ~3.6 billion |
| Foreign reserves | ~$3 trillion | ~$5 trillion |
| Top industries | High-tech, finance, advanced services | Energy, manufacturing, agriculture, growing tech |
➡️ Analysis:
In terms of population and resources, BRICS massively outweighs G7. In nominal GDP, G7 still leads, but on purchasing power parity (PPP) — which adjusts for cost of living — BRICS has overtaken.
3. Different Models of Power
G7: Liberal Democracies & Financial Power
G7 nations emphasize:
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Open markets
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Rule of law & property rights
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Human rights, press freedom
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Military alliances (NATO, AUKUS)
They remain dominant in:
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Financial infrastructure: SWIFT, IMF, World Bank
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Tech giants: Apple, Google, Amazon, Microsoft
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Cultural influence: Hollywood, global universities, news media
BRICS: Diversity & Sovereignty First
BRICS members are politically diverse:
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China & Russia: Authoritarian systems
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India, Brazil, South Africa: Large but messy democracies
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Middle Eastern new members: Monarchies (Saudi Arabia, UAE), theocratic (Iran)
Yet they unite around non-interference, sovereignty, and dissatisfaction with Western-dominated systems.
They’re pushing:
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Alternative payment systems: Cross-border digital currencies, yuan trade
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Development banks & reserve pools: New Development Bank, Contingent Reserve Arrangement
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Energy & resource security: Coordination on oil, gas, rare earths
4. Key Fronts of the BRICS vs G7 Rivalry
a. Energy & Resources
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BRICS houses top energy producers (Russia, Saudi Arabia, Iran) and consumers (China, India).
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Moves to trade oil in yuan or local currencies erode dollar dominance.
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G7 relies on legacy influence in OPEC+ and IEA but faces green transition pressures.
b. Financial Systems & De-Dollarization
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70% of global trade still settles in USD, but BRICS countries are:
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Launching cross-border systems to bypass SWIFT.
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Building yuan clearing hubs, even in Africa & Latin America.
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Russia and China now do >50% of their trade in non-dollar currencies.
This slow erosion of dollar hegemony alarms Washington and G7 finance ministries.
c. Technology & Standards
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G7 sets norms on AI ethics, internet freedom, data privacy (GDPR).
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BRICS leans toward sovereign internet models, state data control, and local AI regulation.
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Competing 5G ecosystems (Huawei vs Western firms), smart city tech, and payment systems reflect this divide.
d. Geopolitical Alignments
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G7’s security network includes NATO, AUKUS, QUAD, reinforcing US military leadership.
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BRICS overlaps with SCO (China-Russia led security group), fostering military exercises, intelligence sharing.
Global South countries now leverage these blocs for better deals, refusing to pick sides outright.
5. Why BRICS Expanded — and Why It Matters
BRICS enlargement in 2024 was a calculated move:
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Saudi Arabia, UAE: Bring oil wealth + sovereign funds
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Iran: Anti-Western alignment, big gas reserves
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Egypt, Ethiopia: Strategic Suez & Red Sea access
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Argentina: Grain powerhouse, potential lithium hub
This makes BRICS more globally connected, controlling key choke points and resources. It also signals:
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A coalition of “non-West” interests, wanting a bigger say in IMF voting, UN Security Council reforms.
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A hedge against Western sanctions.
6. G7’s Counter-Strategy: Reinventing Leadership
The G7 isn’t passive. They’re:
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Funding the “Partnership for Global Infrastructure” to counter Belt and Road.
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Leading on climate finance, offering billions for green transitions in Africa and Asia.
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Tightening semiconductor alliances (US, Japan, Netherlands) to block China.
But unity strains appear. Europe needs China for green tech, while the US pursues aggressive decoupling.
7. Multipolar World: No Longer East vs West
Unlike the Cold War, it’s not a binary choice. Many nations:
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Want Chinese investment + Western security guarantees.
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Trade with both US & BRICS.
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Play one against the other for better deals.
The UAE buying F-35 jets while joining BRICS, or India being in both QUAD and BRICS, shows this is a nuanced multipolar balancing act.
8. The Soft Power Battle: Who Wins Hearts & Minds?
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G7 dominates cultural influence: English media, global universities, film, pop culture.
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BRICS gains via infrastructure & trade: Roads, ports, 5G towers change lives tangibly in Africa & Asia.
Future contests will hinge on whose model of prosperity and governance appeals more to rising nations.
9. Risks Ahead: Could Rivalry Turn Hostile?
a. Financial Fragmentation
Parallel payment systems could splinter global finance, raising costs, risking crises.
b. Resource Conflicts
BRICS oil giants coordinating against Western sanctions could spark energy wars.
c. Tech Bifurcation
Separate internet ecosystems might restrict global collaboration on AI, quantum computing.
d. Military Missteps
Though G7 and BRICS aren’t formal military alliances, China-Russia naval drills near NATO waters or US patrols in the South China Sea could miscalculate into conflict.
10. What Does This Mean for the Average Country?
Countries outside these blocs increasingly act like savvy traders:
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Accept Belt & Road deals from China, but also US military exercises.
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Use BRICS banks for loans, but keep reserves in USD.
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Attend G7 outreach meetings while hosting BRICS summits.
The new rule? “Why choose when you can engage all?”
Conclusion: A New Global Architecture
So is this BRICS vs G7 divide a new Cold War?
Not quite. It’s better described as:
“A complex competition between entrenched powers and rising coalitions in a deeply interconnected world.”
The game isn’t about total ideological dominance but about shaping:
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Who writes the rules of trade?
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Who controls digital infrastructure?
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Who sets climate and security norms?
In this evolving story of power, the rise of BRICS and the recalibration of G7 show that global leadership is no longer a Western monopoly. It’s a contest — and cooperation — among many players, defining what the 21st century will look like.
Further Reading on WorldPoliticsTimes.com
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“Russia’s Energy Gambit: Europe’s Search for Alternatives”
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“Africa’s New Power Brokers: From BRICS Loans to G7 Climate Deals”