JPMorgan to invest up to $10b in US companies critical to nat’l security

NEW YORK, Oct 13 (Reuters): JPMorgan Chase on Monday unveiled a plan to hire more bankers and invest up to $10 billion in US companies considered critical to US national security and economic resilience.
The move is part of a broader 10-year $1.5 trillion initiative to facilitate, finance and invest in industries central to the growth of the American economy, including defence, energy and advanced manufacturing.
Shares of the largest US bank were last up 1.1 per cent before the bell. JPMorgan said it will deploy the $10 billion through direct equity and venture capital investments.
The announcement comes as US President Donald Trump's administration looks to modernize infrastructure and reduce dependence on foreign supply chains, particularly in sectors such as pharmaceuticals, semiconductors, clean energy and rare earths.
"It has become painfully clear that the United States has allowed itself to become too reliant on unreliable sources of critical minerals, products and manufacturing - all of which are essential for our national security," JPMorgan Chairman and CEO Jamie Dimon said.
Trump revived the trade war against Beijing on Friday, ending an uneasy truce between the two largest economies with promises to sharply hike tariffs in a reprisal against China curbing its rare earths exports.
JPMorgan said its new "security and resiliency initiative" would facilitate financing and investment across four strategic sectors: supply chain and manufacturing; defence and aerospace; energy independence; and frontier technologies such as artificial intelligence and quantum computing.
The firm said it had already planned to facilitate and finance about $1 trillion over the next decade in support of clients in these important industries, according to previously undisclosed internal figures, but it would be increasing the size by 50 per cent.