Dimon: Rising Tariffs Pose Risk of Inflation and Global Economic Collapse

JPMorgan Chase CEO Jamie Dimon has sounded the alarm on President Donald Trump’s latest tariff initiatives, warning that the economic fallout could be swift and severe.

In his annual letter to shareholders released Monday, Dimon cautioned that the new tariffs could push inflation higher and drag down the U.S. economy. “The recently announced tariffs are expected to raise prices and have increased the perceived risk of a recession,” he wrote. “Even if we avoid a full economic contraction, growth will almost certainly slow.”

He also pointed to widespread short-term disruption, stating that price hikes are likely across both imported and domestic goods. “Whatever your stance on the long-term merit of these tariffs, the near-term effects are unavoidable and likely to weigh on both consumers and businesses,” Dimon noted.

Markets have already begun to reflect investor anxiety. Global stocks and crypto assets plunged after Trump’s tariff announcement. Bitcoin (BTC) dropped below $79,000 — its lowest level since November — and is currently treading water at $78,235. The CoinDesk 20 Index is down more than 10% on the day and nearly 20% over the last 30 days.

Though Dimon expressed qualified support for Trump’s foreign policy priorities, he emphasized the need for collaboration over isolation. “If global alliances begin to unravel, America’s strength will erode over time,” he warned. “‘America First’ must not evolve into ‘America alone.’”

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