California Governor Gavin Newsom recently told Nikkei Asia that his state remains a “stable partner” offering an “open hand” to China, even as US President Donald Trump’s administration enforces 145% tariffs. “Global trade isn’t a zero-sum game,” Newsom said, underscoring interdependence among trading partners.
Trade ties between California, the world’s fifth-largest economy, and China span provincial, city, and county levels. During his 2023 visit, Newsom elevated cooperation to the national stage, signing multiple memorandums of understanding on trade, climate, and tech innovation.
Here’s what’s at stake:
- 145% tariffs imposed on key California exports
- Over $170 billion in projected import taxes by 2025
- California’s 2024 GDP surpasses Japan’s
Newsom has openly criticized Trump’s trade policy for cutting into tourism revenues, squeezing small businesses, and eroding US credibility on the global stage. In response, California filed a lawsuit challenging the federal government’s emergency powers to impose broad tariffs, arguing they threaten the state’s economy.
Despite these headwinds, California’s global standing keeps rising. Data from the International Monetary Fund and the US Bureau of Economic Analysis show California’s 2024 nominal GDP would rank fourth worldwide—trailing only the US, China, and Germany—if it were an independent economy.
“We’re more than willing to roll up our sleeves,” Newsom said. “California is ready to do business with anyone who recognizes that prosperity is built on partnership, not protectionism.”
Reference(s):
California offers 'open hand' to China amid trade war, says governor
cgtn.com
