Jamie Dimon gathers business elite in Shanghai amid Sino-US tensions

JPMorgan Chief Executive Jamie Dimon has lined up Henry Kissinger and some US and Chinese corporate leaders for a summit in Shanghai as global companies attempt to navigate the worst Sino-US tensions in years.

Next week’s event, part of Dimon’s first visit to mainland China in four years, underscores efforts to keep corporate America’s plans in the world’s second-largest economy on track.

The CEOs of US giants Starbucks and Pfizer, and China’s Baidu and Geely are among those attending in person. Kissinger, the statesman of the century and architect of Sino-US relations in the 1970s, is set to address the gathering via video link.

The event follows a Chinese crackdown on consultancy firms that has irked Western companies that rely on their advice, and major infrastructure operators banned by Beijing from buying products from US chipmaker Micron Technology Is. The US is making it difficult for China’s tech sector to access state-of-the-art components and machinery,

It will be the first time Dimon has visited mainland China since he apologized for telling US business leaders in 2021 that his bank would topple the Chinese Communist Party.

“Biden called for a thaw with a softening of the rhetoric between the US and China,” said Han Lin, a professor at NYU Shanghai. But he added: “We’ve seen this story before, where things get better and then get worse, and it’s the uncertainty that keeps multinational corporations on edge”.

JP Morgan’s own executives have highlighted the fraught relationship between Beijing and Washington. The tension between China and the US was “something we have to learn to live with because it is not resolvable, but hopefully through dialogue the tension will be turned constructive”, chief operating officer Daniel Pinto told investors this month.

There are no Chinese government figures to speak at the conference, which in previous years has been addressed by a representative from the Ministry of Finance and an advisor to the State Council or Cabinet.

Kissinger, who turns 100 on May 27, and Condoleezza Rice will join virtually for a session titled “A Dialogue on Diplomacy” chaired by Marie Erdois, the former US secretary of state, who is the bank’s head of asset management. Other sessions include talks about decarbonization, healthcare and supply chain resilience.

Lakshman Narasimhan will participate as part of his first visit to Starbucks’ second-largest market since taking over from Howard Schultz as CEO of the coffee chain in March. Pfizer CEO Albert Bourla will join as part of his second visit to China in two months. Bourla told the FT earlier this month that he still saw a “huge” opportunity for Pfizer in the country.

Robin Li, founder of Chinese Internet company Baidu, and Daniel Li, who runs Chinese carmaker Geely, are scheduled to speak at the event.

Also in attendance are Australian mining billionaire Andrew Forrest, executive vice-chairman of Chinese electric car maker BYD Stella Li and chief executive officer of Singapore-based warehouse operator GLP Ming Mei.

JP Morgan declined to comment.

The gathering comes at a time when corporate ties between the two superpowers are crumbling and doubts are rising over the strength of China’s post-pandemic comeback. However, many global corporations are still looking to China’s economy to drive their growth.

The raid on the Chinese offices of several consultants has made US firms more wary about operating in the country, with the US Chamber of Commerce warning last month that a new counter-espionage law would “add to the uncertainties and risks of doing business in the People’s Republic”. increases the risks dramatically.” ,

Washington and Beijing are trying to stabilize relations over trade. China’s commerce minister and his US counterpart raised concerns about their countries’ trade and investment policies at a meeting in Washington this week, but vowed to keep the channels of communication open. It was the first visit by a senior Chinese official to the US capital since 2020.

A Conference Board survey released this week showed growing confidence in China’s prospects among CEOs of multinationals with operations in the country. But 88 percent of them warned that geopolitical tensions were negatively affecting their businesses and US-based CEOs remained more pessimistic than European peers.

US-based multinationals reported mixed results from their China operations in the latest earnings season.

It is the first time since 2019 that JP Morgan’s China summit has been held in person and more than 2,600 people are expected to attend the event, with sessions closed to the media.

Additional reporting by Joe Leahy in Beijing and Jamie Smith in New York