Although concerns about the potential for a new trade war and domestic inflation remain, JPMorgan Chase CEO, Jamie Dimon, stated that President Donald Trump’s proposed tariffs could protect US interests and bring trading partners back to the negotiating table for better deals, if used correctly.
In an interview with CNBC at the World Economic Forum, Dimon commented on Trump’s tariff in a positive view, stated that the benefit from national security is worth more than some inflation, and emphasized that tariffs are economic tools and weapons.
Since taking office, Trump has threatened to impose tariffs on several nations, including a 10% tariff on China and a 25% tariff on Canada and Mexico. He also threatens the European Union for treating the US “very, very badly,” citing the US’s $214 billion trade deficit with the EU in 2024.
During his first term, Trump leveled the tariff on several goods, yet inflation remained below 2.5% each year. This week, despite the looming tariff threat, the US dollar has weakened. Dimon expressed that growth is the most important factor, showing little concern about the changing dollar.
Besides Dimon, Goldman Sachs CEO, David Solomon, also spoke positively about tariffs. He mentioned that business leaders have been preparing for this policy along with trade issues. Furthermore, he views the tariffs as a rebalancing of certain trade agreements and adds that if used appropriately, tariffs can be constructive.
