California Surpasses Japan to Become World's Fourth-Largest Economy... Newsom Announces Lawsuit Against Trump Tariffs

California Surpasses Japan to Become World's Fourth Largest Economy in 2024 GDP
Newsom: "Trump's Reckless Tariff Policy Threatens Progress"

The economy of California has grown to the point where it has surpassed that of Japan.

On April 24 (local time), Fox Business reported, based on an analysis of statistics from the International Monetary Fund (IMF) and the U.S. Bureau of Economic Analysis (BEA), that California's gross domestic product (GDP) last year reached $4.1 trillion, narrowly exceeding Japan's $4.01 trillion.

Hollywood in California is the center of the global entertainment industry. Pixabay

The BBC also offered a skeptical analysis of the Japanese economy. Japan is under pressure due to a declining and aging population, and the IMF lowered its economic growth forecast for Japan this week. After losing its position as the world's second-largest economy to China in 2010, Japan was overtaken by Germany again in 2023, and now even its fourth-place ranking is being threatened by India.

By country, the GDP rankings are as follows: the United States at $29.18 trillion, China at $18.74 trillion, and Germany at $4.65 trillion.

California accounts for the largest share of manufacturing and agricultural production in the United States. Silicon Valley, located in California, is a hub of leading technological innovation, and Hollywood is the center of the global entertainment industry.

California Governor Gavin Newsom stated that California is setting the standard for global economic growth, saying, "California is not simply following the world, but leading it." He also pointed out that the tariff policies of the Donald Trump administration threaten California's growth, emphasizing the need to protect the state's economy. Newsom is also being mentioned as a potential Democratic presidential candidate for 2028.

On April 16, Newsom posted on X (formerly Twitter), "Donald Trump does not have the authority to unilaterally impose the largest tax increase of our lifetimes through destructive tariffs," adding, "I announced a lawsuit against the Trump administration on behalf of California." In filing a lawsuit to nullify Trump's tariff enforcement, he stated, "California is the state with the largest manufacturing sector in the U.S. and one of the world's largest trade partners, and no state will be more affected by the Trump administration's claimed unilateral authority to impose the largest tax increase in modern American history than California." This lawsuit, led by Governor Newsom and California Attorney General Rob Bonta, is expected to be filed in the U.S. District Court for the Northern District of California.

The Governor's Office stated in a press release that if tariffs continue to be imposed, the U.S. economy is expected to shrink by $100 billion (about 143 trillion won) per year, warning that the damage could be prolonged.