Tuesday, 02 January 2024 12:17 GMT

JPMorganChase Commits USD1.5T to Boost U.S. Industries


(MENAFN) JPMorganChase announced Monday a sweeping $1.5 trillion initiative aimed at strengthening the resilience and security of vital U.S. industries over the next ten years.

The U.S.-based investment giant confirmed it will deploy up to $10 billion in direct equity and venture capital investments as part of the program. The focus will be on supporting select American companies to accelerate innovation, expand strategic manufacturing, and drive long-term growth.

"As part of this new initiative, JPMorganChase will make direct equity and venture capital investments of up to $10 billion to help select companies primarily in the United States enhance their growth, spur innovation, and accelerate strategic manufacturing," the firm stated.

In outlining the motivation behind the initiative, CEO Jamie Dimon warned that the U.S. has become excessively dependent on unreliable foreign sources for vital materials and manufacturing—posing a threat to national security.

“Our security is predicated on the strength and resiliency of America’s economy. America needs more speed and investment. It also needs to remove obstacles that stand in the way: excessive regulations, bureaucratic delay, partisan gridlock and an education system not aligned to the skills we need,” Dimon said.

The initiative targets four strategic sectors: supply chain and advanced manufacturing, defense and aerospace, energy independence and resilience, and frontier and strategic technologies.

These sectors are further divided into 27 specialized focus areas, encompassing industries such as shipbuilding, nuclear energy, nanomaterials, and essential defense components.

JPMorganChase added that it had already committed to facilitating and financing approximately $1 trillion over the next decade to support clients operating in these high-impact sectors.

"The firm had already planned to facilitate and finance approximately $1 trillion over the next decade in support of clients in these important industries," it noted.

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