California open to trade with China: state governor

LOS ANGELES - California Governor Gavin Newsom has said that the Golden State will remain open to trade with China as the current US administration's tariff policy has threatened the largest state economy in the country.

He made the remarks in an online interview with Nikkei Asia on Friday, according to reports by Japanese media outlets.

Newsom said his state has been a "stable partner" in trade with China. He noted that California has signed a series of memorandums of understanding with China's provinces and municipalities and extended relations to China's national level during his visit to Beijing last year.

He stressed that California has "extended an open hand" to China and other trading partners, especially those in Asia.

Global trade is not a zero-sum game, said Newsom, adding that he recognizes "our interdependence."

Talking about the huge tariffs against trade partners worldwide imposed by the Donald Trump administration, Newsom said the reason he has been so outspoken about the administration's trade policy is because California was disproportionately impacted by the tariffs compared with other US states. He noted that California has extensive trade with Asia and that Silicon Valley tech companies have integrated supply chains and markets in the region.

"The direct and indirect economic costs to the state of California is in the billions and billions of dollars," said Newsom. "It has an outsized impact on tourism, on trade, small businesses, large businesses ... and the reputation (damage) is incalculable."

After Trump announced "reciprocal tariffs" against trade partners early in April, Newsom had asked economies worldwide not to impose retaliatory tariffs against California products. Also, California was the first US state to file a lawsuit against the Trump administration over tariffs.

During the interview, Newsom emphasized a far distance both physically and metaphorically between California and the Trump administration in Washington.

"We're 2,000 miles away from Washington, DC. But we're a world away in terms of our mindsets. I represent the most un-Trump state in America," he said. "Our values are in contrast to those that are being expressed currently by the current occupant in the White House."

California is the largest state economy in the United States. Newsom announced on April 23 that in 2024, California's nominal gross domestic product overtook Japan to rank fourth in the world only after the United States, China and Germany when estimated as a single economy.