JPMorgan Chase CEO Jamie Dimon stated that they will not turn a blind eye to the threat posed by China (CCP), but will also not underestimate America’s “very advantageous negotiating position.”
Dimon, during an interview with The Wall Street Journal on Thursday, said, “We have all the food, water, and energy we need,” and “they (China) need oil and natural gas,” which he believes are advantageous bargaining chips for the United States.
His remarks come amidst U.S. Secretary of State Blinken’s visit to China, with the U.S. and China locked in confrontations on several key issues, including Chinese support for Russia’s invasion of Ukraine.
The 68-year-old Wall Street billionaire hopes that the U.S. can take a “deep breath” in dealing with contentious issues with China (CCP).
Dimon pointed out that many of America’s resources are self-sufficient, stating, “China imports 11 million barrels of oil per day. They are a very complicated neighbor – their actions result in all their neighbors rearming. Their GDP per capita is $15,000, while ours is $80,000. So, our position is very advantageous.”
In fact, the gap in GDP per capita between the U.S. and China is even larger than Dimon stated. According to data from the International Monetary Fund, China’s GDP per capita is around $13,000, while the U.S. GDP per capita exceeds $85,000.
Considering this, Dimon emphasized, “We must adjust our trade structure around national security.”
In a shareholder letter in 2023, Dimon warned that America’s dependency on China in critical materials for national security is the “most critical” issue.
He explained, “America cannot rely on any potential adversary for materials crucial to our national security. Such as rare earths, 5G and semiconductor technology, penicillin, essential materials for basic drugs, etc. We also cannot share critical technologies that would enhance the military capabilities of adversaries.”
The aggressive communist ideology of the CCP is at odds with the democratic values of Western countries.
Dimon believes it is difficult for the U.S. and China (CCP) to establish a good relationship.
On Thursday, NATO Secretary General Jens Stoltenberg publicly warned the Chinese authorities that if they want to establish good relations with Western countries, they must stop supporting Russia’s war in Ukraine.
Dimon agreed with this, stating, “It’s hard to have a good relationship with them (CCP) as long as they continue to support wrongdoing.” He also mentioned that if certain actions are confirmed, the U.S. government should impose sanctions on China.
This week, The Wall Street Journal reported citing sources familiar with the matter that the U.S. is formulating sanctions warning to exclude some Chinese banks from the global financial system to curb China’s relationship with Russia.
Dimon has repeatedly stated that the biggest threat to the world economy is geopolitics.
He said, “If Russia wins the war, as alliances and economic relationships are reshuffled, the world will descend into chaos.”