California's economy has surpassed Japan's, state Gov. Gavin Newsom announced, as he warned of potential impacts in the Golden State from President Trump's sweeping tariffs. The big picture: "CA just became the 4th largest economy in the WORLD,

California Gov. Gavin Newsom discusses President Donald Trump's tariffs during a press conference on Wednesday, April 16, 2025, at an almond farm in Ceres, Calif. On Wednesday, April 23, the governor announced that California had become the fourth largest economy in the world.

California Gov. Gavin Newsom says the state is now the world’s fourth largest economy. But after accounting for the high cost of goods and services, California only barely edges out low-performing Italy,