JP Morgan CEO says Trump tariffs will increase the prices of both domestic and imported goods, 'likely to weigh on the slowing US economy'



President Donald Trump's announcement of new

reciprocal tariffs has a major impact on the US and global economies. Jamie Dimon, CEO of JPMorgan Chase , has spoken out for the first time about the negative impact of tariffs on the economy, sounding the alarm about the huge losses the US economy will suffer.

Jamie Dimon's Letter to Shareholder's, Annual Report 2024 | JPMorganChase
https://www.jpmorganchase.com/ir/annual-report/2024/ar-ceo-letters

Jamie Dimon says Trump tariffs will boost inflation, slow US economy
https://www.cnbc.com/2025/04/07/jamie-dimon-trump-tariffs-inflation-economy.html

The Scoop: Some business leaders begin to break silence over tariffs - PR Daily
https://www.prdaily.com/the-scoop-some-business-leaders-begin-to-break-silence-over-tariffs/

The official document by CEO Dimon is composed of five chapters: '1: America and the world are at a critical crossroads,' '2: An overview of key domestic policies to promote growth, opportunity, and well-being,' '3: Specific challenges facing the company,' '4: Lessons learned by management,' and '5: Conclusion.' Of these, CEO Dimon mentions tariffs in chapters 1 and 3.

In Chapter 1, 'America and the World are at a Crossroads,' Dimon describes tariffs as 'one of many trade practices used to gain an advantage over other countries,' and says that while tariffs, along with other trade practices such as economic sanctions, are sometimes used as tactics to unfairly dominate entire industries, 'they should not be tolerated.'

In Chapter 3, 'Specific Challenges Facing the Company,' the recently announced Trump tariffs are described as 'likely to have a significant impact in the short term,' ignoring the validity of the reasons and the pros and cons of the long-term impact. As a specific short-term impact, CEO Dimon points out that there is a high possibility that prices of not only imported goods but also domestic goods will be inflated.

Price inflation for domestic goods is due to increased demand for domestic products as the prices of imported goods rise, and while it is not clear whether this will lead to an economic recession, he said, 'it will clearly slow economic growth.'



'The sooner we resolve this issue, the better, because some of the negative effects will accumulate over time and be harder to reverse,' Dimon continued. 'In the short term, I think this is going to hurt even more.'

It also noted that the bank depends on 'the long-term health of the United States and the future of a free and democratic world.'

However, Dimon has not completely rejected the Trump administration's policies, praising its efforts to address immigration issues, correct the trade imbalance with China, and ease regulations.

Dimon is the first CEO of a major Wall Street bank to publicly comment on President Trump's tariff policies amid a global market crash, and has previously used his position to highlight geopolitical and financial risks.

PR Daily , a publication for marketing professionals, said of Dimon's statement, 'While predicting a bleak outlook (from Trump's tariffs), his comments were thoughtful and measured, with a nod to the president, and his comments were not aimed directly at the administration but at the economy as a whole.'



Wall Street leaders echo Dimon's sentiments. Bill Ackman, a hedge fund manager at Pershing Square Capital Management, said the tariffs are 'destroying confidence in our country as a trading partner, a place to do business and a market in which to invest capital.'

However, some have defended Trump's economic policies, with Michael O'Rourke, chief market strategist at Jones Trading , saying: 'With countries looking to make a deal with the administration, the president is well positioned to begin claiming victory. All he needs is the will to do it.'

Dimon also said, 'The economy is a long-standing bond, and America First is fine as long as it doesn't become America unilateralism.'

in Note, Posted by logu_ii