4th largest economy

California becomes 4th largest economy globally, Gov. Newsom says

By Lindsay Weber

Governor Gavin Newsom on Wednesday said California had overtaken Japan to become the world's fourth-largest economy. The data comes from the International Monetary Fund and the U.S. Bureau of Economic Analysis.

According to the governor's office, the data shows that California reached a nominal gross domestic product of $4.1 trillion in 2024, while Japan hit $4.02 trillion.

The United States as a whole leads the global rankings, followed by China and Germany.

"California isn’t just keeping pace with the world — we’re setting the pace," Newsom said in a statement. "Our economy is thriving because we invest in people, prioritize sustainability, and believe in the power of innovation."

Despite the state's global success, Newsom warned that the state's economic outlook could be tarnished by federal policies and tariffs.

"While we celebrate this success, we recognize that our progress is threatened by the reckless tariff policies of the current federal administration. California’s economy powers the nation, and it must be protected," Newsom said.

Newsom's office also noted that the state's economy has been rapidly growing. In the last four years, California's nominal GDP grew by 7.5%