In a stark warning from one of Wall Street’s most powerful voices, JPMorgan Chase CEO Jamie Dimon declared that Europe’s economic struggles and slow-moving bureaucracy pose a serious risk to the United States.
Speaking at the Reagan Defense Forum on Saturday, Dimon didn’t mince words. “Europe has a real problem,” he stated. While applauding the continent’s social safety nets, he argued that over-regulation is driving away business, investment, and innovation. “It’s kind of a comeback story they need,” he added.
Dimon, who leads America’s largest bank, has frequently pointed to European instability as a global threat. He acknowledged that some European leaders are aware of these issues but noted that the political hurdles to fixing them are “really tough.”
He praised historical European achievements like the creation of the euro and the promotion of peace. However, he warned that declining military spending and the difficulty of reaching consensus among 27 EU nations are making the continent vulnerable.
The stakes for America are high, Dimon insisted. “If they break up, then you could argue that America First will no longer exist,” he said. “This is going to hurt us more than anyone else because they are our key allies in every way.” His solution? The U.S. needs a long-term plan to help Europe get stronger. “A weak Europe is not good for us.”
This warning comes as the Trump administration’s new national security strategy shifts focus toward the Western Hemisphere, with a document that describes Europe as a continent facing potential “civilizational” decline.
JPMorgan Puts Its Money Where Its Mouth Is
Aligning with these concerns, JPMorgan is launching a massive financial offensive to bolster U.S. economic and defense independence. In October, the bank announced it would funnel an extra $500 billion—for a total of $1.5 trillion—over the next decade into sectors that make the American economy more secure.
“It is clear that the United States has allowed itself to become too dependent on unreliable sources,” Dimon said in a statement, pointing to critical minerals, products, and manufacturing.
The effort, led by investment banker Jay Horine and described by Dimon as “100 percent commercial,” will target four key areas:
- Supply chains and advanced manufacturing
- Defense and aerospace
- Energy independence
- Cutting-edge technology
JPMorgan will also commit up to $10 billion of its own funds to help companies in these fields expand and innovate.
A Nod to Cutting Red Tape
Separately, Dimon offered rare praise for the Trump administration’s efforts to slash government bureaucracy. “There’s no question that this administration is trying to cut away some of the bureaucracy that’s holding America back,” he said. “That’s a good thing and we can do that while still keeping the world safe.”