JPMorgan Chase said it has committed $5 billion of its own capital to defence-related startups, halfway through its initial $10 billion allocation. Among the companies receiving funding are Hadrian, which builds automated factories for precision weapons, and Castelion, a hypersonic missile maker. The bank led a nearly $1.4 billion funding round for Hadrian and an $800 million round for Castelion.
The initiative reflects a growing convergence between Wall Street financing and Washington's national security priorities. Critical minerals are a particular focus: China dominates the processing of many materials essential for weapons and technology. JPMorgan has taken a 2.7% stake worth $75 million in Perpetua Resources, which is developing an Idaho mine expected to hold the only identified US antimony reserve. It is also helping arrange financing for Korea Zinc's $7.4 billion critical minerals processing plant in Tennessee, which includes $1.4 billion in planned Pentagon support.
In August, the bank issued a conditional commitment for up to $500 million in loans to a government-backed entity created to purchase rare earth minerals from Brazilian producer Serra Verde. JPMorgan has also hired a critical minerals chief, Andrew Frame, to lead efforts to strengthen domestic and allied supply chains.
Beyond minerals, the bank advised L3Harris on a $1 billion Pentagon investment in its missile business, with the investment completed in April. The business makes parts for Tomahawk and Patriot missiles and is expected to go public.
"Strong economies and national security don't happen by accident," Dimon said in a press release. "They require investment in critical infrastructure, manufacturing, energy, defence and innovation, as well as policies that encourage growth."
Jeff Barrington, managing director at sell-side M&A advisory firm Windsor Drake, said JPMorgan is investing into areas "that now have a federal tailwind behind them". He added: "The bank is following the capital that the state is effectively guiding."
The Pentagon plans to spend $5 billion over fiscal years 2026 and 2027 to shore up critical minerals supply chains, including $3.6 billion to address shortages of antimony, gallium, germanium, and aluminium. The Trump administration said it has signed or approved $40 billion in critical minerals deals since January 2025.
JPMorgan said it plans to invest in more companies that "can expand critical capacity" and help make strategic projects financeable in the coming year. "Success will be measured not only by capital mobilization, but also by stronger industrial capacity, more reliable supply chains and a deeper pipeline of companies able to scale when demand rises or disruption occurs," the bank said.