Jamie Dimon has a trade idea, and it's a big one. The JPMorgan Chase & Co. (JPM) CEO laid out an extensive plan in a Wall Street Journal op-ed on Monday for revamping the US-Europe trade relationship and rebuilding ties with Western allies.
The basic bargain goes like this: the US nudges Europe toward serious economic and military reforms. In exchange, Washington negotiates what Dimon calls a "big, beautiful economic and free-trade agreement" with Europe.
And why stop there? Dimon suggested the arrangement could stretch to other democratic nations, including Canada, Mexico, Japan, South Korea, Australia, and the Philippines. He argues those trade connections would be "an economic and geopolitical game changer" for the US and its allies, letting them "set the global rules on trade" and stand together against autocratic pressures.
His logic on Europe is straightforward: a Europe that can mobilize capital, scale innovative companies, and generate stronger growth would be a more capable security partner and a stronger counterweight to China's economic power.
Dimon Outlines Three Pillars of US Power
Dimon says the US needs stronger domestic economic policies to keep its global economic leadership, with a target of 3% annual growth. He estimated that hitting that pace over the past two decades would have raised GDP per capita by $20,000.
US global leadership, in his telling, rests on three pillars: military strength, economic dominance, and a renewed commitment to American values and the American dream. He added that the US remains a global symbol of freedom and opportunity, and "if global investors could invest in only one country, it would be the US."
A renewed commitment to American values and alliances, paired with bold European reforms, could strengthen the Western world's geopolitical and economic position for "the next 250 years."
Dimon Warns Against Economic Fragmentation
This isn't a new hobbyhorse for Dimon. He has long raised concerns over Europe's weak growth and limited global competitiveness. The proposal follows his earlier criticism of Canadian Prime Minister Mark Carney's idea for a coalition of "middle powers." Dimon dismissed that as a "fantasy," pointing to Europe's economic downturn as the result of a similar approach, with the continent's GDP falling from 90% of America's to 70%.
The timing is notable. US relations with major trade partners such as the EU and Canada have soured amid President Donald Trump's tariff threats and trade negotiation tactics in his second term.
Earlier this year, Dimon highlighted the importance of international relations and geopolitics for the US, despite his unwavering belief in America's economic potential. He warned that economic fragmentation extends beyond tariffs to investment policies, regulations, and World Trade Organization (WTO) rules.
"I think the worst thing we can do is fragment it," Dimon said at the time, warning that Russia and China want it to happen.
