Returning to the subject of regional trading blocs and the currency of invoicing, data shows that BRICS are becoming more focused on other emerging markets. Although BRICS are not importing more from each other, their import dependence on the euro area, US, and other developed markets is declining in favour of emerging economies (Figure 11). On the export side (Figure 12), DMs are not losing importance for BRICS, and the only noticeable trend is that BRICS are becoming less focused on each other in favour of supplying other EMs.
In terms of the fuel trade, one aspect which is gaining political and sanctions-driven importance is the discussion of potential de-dollarisation of commodities trade. The inter-connectedness of the BRICS fuel trade within itself and other EMs seems to be growing (Figures 13 and 14) but is still around one third of the total EM market, suggesting limited market power (so far) versus key OPEC exporters and DM consumers. At the same time, regardless of the progress on de-dollarisation in this area, it is worth keeping in mind that despite all the noise and obvious importance of oil to the global energy market and inflation, oil and gas accounts for only around 15% of the global trade value.
