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Newsom Makes Bold Play to Shield California Exports from Global Tariffs

Sarah Johnson

Sarah Johnson

April 4, 2025

5 min read

Brief

Governor Gavin Newsom urges world leaders to exempt California products from retaliatory tariffs after Trump’s new trade plan, highlighting the state's economic significance and agricultural exports.

California Governor Gavin Newsom has taken a noteworthy step in his ongoing political chess game, urging world leaders to exempt California-made products from retaliatory tariffs after President Donald Trump’s aggressive new trade plan. Newsom, in a video announcement, made his argument crystal clear: California isn’t just another state. It’s the beating heart of the U.S. economy, and it deserves special consideration.

"Donald Trump's tariffs do not represent all Americans," Newsom declared in the video posted to X. He painted California as the dominant manufacturing state in America, emphasizing stable global trade relationships as a priority for its 40 million residents.

Sources close to Newsom revealed that his announcement was a direct response to Trump’s "Liberation Day" tariff plan, which imposes a baseline duty of 10% on all imports to the U.S., with higher rates for certain trading partners. Newsom’s administration expressed immediate concern for California’s agricultural industry, particularly its almond sector, which could lose billions from retaliatory tariffs imposed by countries like China, India, and the European Union.

"California remains a stable partner," Newsom said, calling for expanded trade opportunities while sending a clear message to global trading partners.

Almonds are at the crux of this issue. As California’s top agricultural export, they account for 20% of the state’s agricultural sales abroad and 2.5% of its total exports, according to the California Department of Food & Agriculture. With 80% of the world’s almond supply originating from California, the stakes couldn’t be higher.

But not everyone’s impressed. White House spokesperson Kush Desai didn’t mince words, saying Newsom should focus on homelessness, crime, and affordability issues in California instead of dabbling in international trade policy. And here’s the kicker: Individual states don’t have the legal authority to negotiate trade agreements. The Constitution explicitly reserves that power for Congress and the federal government.

California, the fifth-largest economy in the world, boasts a staggering $3.9 trillion GDP, making it a heavyweight in both imports and exports. Trade with key partners like Mexico, Canada, and China fuels its engine, accounting for nearly half of the state’s imports last year. But Trump’s plan could throw a wrench into these relationships, even affecting critical supplies like construction materials needed for wildfire recovery efforts.

As Trump sees it, this tariff plan is nothing short of revolutionary. Calling it a "declaration of economic independence," he framed it as the long-awaited moment for Americans to reclaim prosperity. "The markets are going to boom," Trump said confidently, adding that trillions of dollars will help reduce taxes and pay down the national debt "very quickly."

Meanwhile, California officials warned of potential disruptions to supply chains, particularly in the California-Baja region, where cross-border tariffs could inflate costs for consumers.

This tug-of-war between state and federal priorities underscores the high stakes of global trade. Newsom’s bold move may be a political gamble, but one thing’s clear: California’s economy is too big to ignore, even on the international stage.

Topics

Gavin NewsomCalifornia tariffsTrump trade planretaliatory tariffsCalifornia economyalmond exportsglobal tradeUS importsagricultural industryinternational trade policyPoliticsCaliforniaTrade

Editor's Comments

Newsom’s move feels like a Hollywood script—California versus the world! While his ambition is commendable, the Constitution might just be the ultimate buzzkill here. Also, almonds as the star of this drama? Who knew nuts could be so politically charged!

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