California is now the world's fourth largest economy, surpassing Japan, with a GDP of $4.1 trillion. Governor Newsom attributes this to investments in people and innovation but warns that Trump's tariff measures could harm growth.

According to preliminary data from the U.S. Bureau of Economic Analysis, California's economy is now the fourth largest in the world, surpassing Japan.

If California were its own country, its economy would now rank as the fourth largest of any nation in the globe, Gov. Gavin Newsom said this week.