JPMorgan Chase CEO: The Trade War Initiated by Trump May Damage the US's Credibility

Jamie Dimon, CEO of JPMorgan Chase, warned that the trade war initiated by US President Donald Trump could damage the international credibility of the US.

Dimon stated in a media interview that the US remains a "safe haven" due to its prosperity, rule of law, and economic and military strength, but Trump's attempt to reshape the global trade landscape could threaten the US's economic advantage.

"A lot of uncertainties are challenging this now. You may continue to see related reports until these tariffs and the trade war subside, and people can say, 'I can trust the US,'" Dimon said.

On April 2, Trump announced the imposition of so-called reciprocal tariffs on almost all trading partners and called the day "Liberation Day."

Due to the reciprocal tariffs triggering a new round of trade war and causing Wall Street market turbulence, Trump announced last week a 90-day suspension of reciprocal tariffs for the vast majority of countries, but maintained a 10% baseline tariff.

Investors sold US Treasury bonds last week, driving the yield on 10-year US Treasury bonds to its largest increase in decades. Trump's unpredictability in trade policy and his attacks on independent regulatory agencies have led some investors to question the stability of the US as a major global market.

"We should remain vigilant. No one can take success for granted, nor can we be complacent," Dimon said.

Dimon pointed out that although market volatility was exceptionally intense after the announcement of reciprocal tariffs, the overall performance was still normal. He added, "The market is very volatile, which is indeed panic-inducing."

Dimon, who has been at the helm of JPMorgan Chase since 2006 and is one of the most influential figures on Wall Street, previously warned that Trump's tariff policies could push the US economy into a recession. When Trump announced the suspension of reciprocal tariffs last week, he cited Dimon's view.

Dimon, who was once considered a potential candidate for US Treasury Secretary, also expressed confidence in the current Treasury Secretary, Besant, believing that he has the ability to lead the US through the current economic turmoil.

"I hope so," Dimon said. "I have had some contact with him, and I think he is an adult. I do not agree with all the current government's actions, but I think he is a suitable candidate for negotiating trade agreements."

In Trump's inner circle, Besant's stance is relatively mild, and he opposes the implementation of aggressive tariff policies on all countries. Although there were previous reports that Besant was marginalized in the tariff policy-making process, he regained his voice as financial markets experienced severe turbulence.