It's not a trade war, it's a commercial skirmish, says Jamie Dimon, of JPMorgan

Dimon's comments came after US President Donald Trump decided to apply new tariffs on Chinese products. On Monday, he announced a 10% tariff on Chinese imports for $ 200 billion. These rights will increase to 25% by the end of the year.

In response, China has announced tariffs for more than 5,000 US products – worth about $ 60 billion – that will come into effect on September 24. The country has also filed a complaint against the United States with the World Trade Organization.

Dimon said the rates would not have as many ramifications for the consumer or the US economy.

"But if we consider the tariffs of 200 billion dollars (value of Chinese products), all this could be passed on to the American consumers and they will have to pay 20 billion additional dollars (Chinese imports), a saving of 20 000 billion dollars.Economic effect is not dramatic, "said Dimon.

"We can add tariffs to more things and the Chinese can retaliate and I do not think everything is good." It's not a devastating thing, it's not not a war, a commercial skirmish that can have negative economic effects. "

Trump seems to have left the door open for negotiations with China, telling reporters during a visit with the Polish president that the United States could reach an agreement with China at some point and that his country is still open to discussion. Dimon said he was not expecting an immediate resolution, though.

"There is an effect on the psyche, the spirit, if the commercial skirmish becomes a trade war, but right now, it 's only a trade and I' d like it. hope that we will come to a resolution, I do not expect a trade war but I do not expect progress before the elections (mid-term in the United States). "

Dimon's only concern about trade tensions was whether it could "offset some of the positive effects," he said, of President Trump's "regulatory reform and tax reform and other pro-trade policies."