California has officially overtaken Japan to become the fourth largest economy in the world with a GDP of $4.10 trillion.
With a gross domestic product (GDP) of $4.10 trillion (£3.08 trillion) in 2024, the US state now ranks behind only the United States, China, and Germany. Japan, once the world’s second-largest economy, has slipped to fifth with a GDP of $4.01 trillion.
“California isn’t just keeping pace with the world — we’re setting the pace,” said Governor Gavin Newsom, celebrating the milestone.
The figures confirm California’s continued dominance as a global economic powerhouse, driven by its unrivalled blend of manufacturing, agriculture, technological innovation, and cultural influence. The state is also home to the two largest seaports in the United States and the heart of the global entertainment industry.
However, the economic triumph arrives amid growing concern from Governor Newsom over the impact of federal trade policies. The Democrat leader, widely considered a potential 2028 presidential contender, has criticized former President Donald Trump’s sweeping tariffs on global imports, warning they could undermine California’s economic momentum.
“While we celebrate this success, we recognise that our progress is threatened by the reckless tariff policies of the current federal administration,” Newsom said. “California’s economy powers the nation, and it must be protected.”
