JP Morgan Chase CEO and Chairman Jamie Dimon on Thursday expressed optimism about President Donald Trumpâs second-term tariffs when CNBC reporter Leslie Picker asked him about them.
Trump announced sweeping reciprocal tariffs on numerous countries on April 2 before announcing a 90-day pause on April 9, which lowered the rates for most nations to a baseline of 10% and set new rates for many countries after the pause. Picker asked Dimon on âMoney Moversâ whether he shared Federal Reserve Chairman Jerome Powellâs concern that the tariffs could lead to increased inflation. (RELATED: Trump Locks In China Trade Deal, Keeps Pressure On Beijing)
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âhere are a lot of forces at work in the economy. And tariffs are one of them. The remilitarization of the world, the fiscal deficits, the demographics, all those things are going to drive various things,â Dimon said. âAnd yeah, they may drive slightly higher inflation. But you really want is more growth. That is far more important than whether inflation ticks up or down a little bit ⌠and then tariffs themselves, theyâve been greatly moderated. People can, I think, kind of deal with the 15% kind of number.â
âIn a lot of cases, these are agreements in principle â the 15% relates to half of the imports, not 100%. And I think our imports around $4 trillion â goods imports. So if itâs on average 7 or 8%, youâre talking $300 billion a year on a $30 trillion economy,â he continued. âSo that might have some effect. And itâs also quite clear some is being passed on and some is not. And we just donât know yet. And you may see more effect down the road. Weâll have to wait and see.â
Picker noted it seemed as though Dimon was less worried about tariffs than he was in his annual letter in 2024 where he warned they would probably cause inflation.
Dimon said Picker was correct and cited the lack of escalation in wars and Trumpâs âbig, beautifulâ bill becoming law on July 4 as reasons why.
âAnd then we started tariffs. We didnât know what they were going to be. And now we kind of know. And theyâre more moderate and thoughtful and more carefully done,â he said. âAnd hopefully theyâll help some companies export. Maybe some people move manufacturing back here. So so far, so good.â
Trump announced major trade deals with the European Union and Japan within the last two weeks. The administration is also holding ongoing talks with China before the August 12 deadline.
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