Europe Is Falling Behind Economically, Warns JPMorgan CEO
JPMorgan CEO Jamie Dimon warns that Europe is losing ground economically to the U.S. and China, citing stagnant growth and declining competitiveness.
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Western Europe is losing its edge in the global economic race, according to JPMorgan Chase CEO Jamie Dimon. Speaking at an event in Dublin hosted by Ireland’s Foreign Ministry, Dimon said the region is falling behind the U.S. and China, warning that Europe is facing a crisis in long-term competitiveness.
“You’re losing,” Dimon stated bluntly, citing a dramatic drop in Europe’s share of U.S. GDP. “Europe has gone from 90% of U.S. GDP to 65% over 10 or 15 years,” he said, pointing to stagnating growth and a shortage of large, globally competitive companies.
The European Union’s economic momentum has faltered since 2022, when the bloc imposed broad sanctions on Russian energy in response to the Ukraine conflict. The resulting energy crunch contributed to inflation, industrial disruption, and recessionary trends, especially in Germany, the EU’s largest economy, which is now enduring its third consecutive year of contraction.
Critics, including Russian officials, argue that the EU’s own policies are fueling its economic difficulties. They contend that sanctions have driven up energy costs and weakened core industries across the continent.
Dimon echoed earlier concerns he shared in an interview with Financial Times, where he warned that GDP per capita in Europe had slipped from 70% of the U.S. level to around 50%, calling the trend “not sustainable.”
His latest remarks come as European NATO members discuss dramatically increasing defense spending. Several NATO nations have proposed boosting military budgets to 5% of GDP within a decade, more than double the current 2% benchmark.
For Dimon, the warning is clear: without serious structural reforms and renewed focus on industrial competitiveness, Europe risks becoming increasingly marginalized on the world stage.