Former Reagan economist Art Laffer speaks out on Trump’s controversial economic plan to impose 25% tariffs on Mexico and Canada starting February 1.
CEO of JPMorgan Chase Jamie Dimon said in a new interview that an uptick in inflation caused by the Trump administration’s tariff plans would be helpful in serving national security concerns.
Dimon appeared on CNBC’s “Squawk Box” and said that tariffs are an economic tool that can be used for a variety of reasons and that while they may cause inflation, it would be acceptable if they helped the United States achieve its national security goals .
“I look at tariffs, they’re an economic tool, that’s it. They’re an economic weapon, depending on how you use it and why you use it and stuff like that,” Dimon said.
“People wonder if it’s inflationary, isn’t it inflationary? I would put it in perspective: if it’s a little inflationary, but it’s good for national security, so be it .I mean, get over it a little bit more inflation,” he said.
JAMIE DIMON TRACKS ON TRUMP’S VICTORY AND THE POLICIES HIS ADMINIST SHOULD FOCUS ON
JPMorgan Chase CEO Jamie Dimon said inflation caused by national security-enhancing tariffs would be acceptable. (Aaron Schwartz/Xinhua via /Getty Images)
Dimon went on to say that the way the Trump administration could use rates seeking more favorable trade terms or resolving national security concerns is a more important question than whether it will cause inflation.
“But I think really the question is how are they used. Can they be used to bring people to the negotiating table? Yes. Is there unfair trade? Yes. Is there “Is there public funding? Yes. Is the president going to use it that way and his team? Yeah, and we’ll see. But how it plays out – we’ll find out,” Dimon said.
| Teleprinter | Security | Last | Change | Change % |
|---|---|---|---|---|
| JPM | JPMORGAN CHASE & CO. | 263.03 | +3.87 |
+1.49% |
JPMORGAN SETUP “WAR ROOM” TO TRACK TRUMP’S POLICY CHANGES
President Trump campaigned on radical tariff plans. (Bill Pugliano/Getty Images)
President Donald Trump campaigned to impose blanket tariffs of 10-20% on all imported goods, as well as higher tariffs of up to 60% on goods imported from China.
Although he has not implemented these tariffs in his first two days in office, Trump told reporters at the White House on Tuesday that he plans to start with a 10% customs duties on China this would take effect in early February.
“We’re talking about a 10 percent tariff on China, based on the fact that they’re sending fentanyl to Mexico and Canada,” Trump said. “February 1 is probably the date we’re looking at.”
TRUMP TARIFFS ON MEXICO AND CANADA: THE COMPANIES THAT HAVE RAISED THE ALARM
President Trump has said he plans to start by imposing 10% tariffs on China. (Kenny Holston/New York Times/AFP via /Getty Images)
Trump also signed an executive order after taking office Monday titled “America First Trade Policy” that directs the Commerce and Treasury departments to investigate the causes of annual trade deficits and the risks they pose and make recommendations on measures such as tariffs to address trade deficits.
The order also directs these agencies, along with the Department of Homeland Security (DHS), to design and implement Trump’s “Foreign Revenue Service (ERS)” to collect customs duties, duties and other income linked to foreign trade.
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Trump intends for the ERS to collect customs revenue from foreign sources, but economic experts have pushed back on that goal, noting that the U.S.-based system importers pay customs duties when their imported goods enter the country. These tariffs are currently collected by U.S. Customs and Border Protection, a sub-agency of DHS.
Greg Norman of Fox News Digital contributed to this report.
