California Governor Gavin Newsom begged foreign governments to exclude California-made goods from new retaliatory tariffs imposed in response to President Trump’s latest trade initiative.
The move comes after President Trump announced sweeping tariffs targeting global imports, an effort the administration says is aimed at leveling the playing field for American producers.
Newsom released a video on Friday criticizing the tariffs, saying they unfairly punish California which relies heavily on international trade.
“Donald Trump’s tariffs do not represent all Americans,” Newsom said in the clip.
The Democratic governor pointed to California’s leadership in both agriculture and manufacturing, asserting that the state has the most to lose from what he labeled a “Trump tax hike and trade war.”
TO OUR TRADING PARTNERS AROUND THE GLOBE — California is here and ready to talk.
We will not sit idly by during Trump’s tariff war.
We make up 14% of the US GDP. We’re the 5th largest economy in the world.
We’re not scared to use our market power to fight back against the… pic.twitter.com/yTfbcWW1sO
— Gavin Newsom (@GavinNewsom) April 4, 2025
He also noted California’s global economic influence, pointing out that the state ranks as the fifth largest economy in the world.
Despite what he described as chaos in Washington, Newsom vowed that California will remain “a steady, reliable partner for generations to come.”
“California is not Washington, D.C.,” he said.
“We will not sit idly by during Trump’s tariff war,” Newsom continued. “We’re not scared to use our market power to fight back against the largest tax hike of our lifetime.”
Newsom’s remarks came as he directed his administration to build “strategic partnerships” with international allies and seek avenues to deepen trade relationships.
He stated that the Golden State would actively pursue new trade opportunities to reinforce its position as a dependable global partner.
According to Newsom, part of this strategy includes protecting sectors like agriculture and manufacturing from the effects of the tariffs and encouraging job growth in industries dependent on global commerce.
He highlighted California’s leadership in technology and innovation, noting that the state is home to 32 of the top 50 artificial intelligence firms worldwide.
Additionally, he referenced California’s dominant presence in research and development, and its production of a significant share of AI patents and academic work.
President Trump, earlier in the week, announced that a baseline 10% tariff would be applied to all imports coming into the U.S. from foreign nations.
The administration also confirmed that higher tariffs would be levied on countries that impose trade barriers on American exports, as part of a reciprocal approach to international trade policy.
Newsom’s office shared that over 40% of California’s imports come from Mexico, Canada, and China.
On Wednesday, Chinese imports were hit with a 34% tax, which combined with existing tariffs, raises the total levy to over 54%. China responded on Friday by imposing 34% tariffs on all imports from the United States
China’s Ministry of Finance issued a statement urging the U.S. to withdraw the tariffs and resolve the trade conflict through mutual consultation, according to CNBC’s report on a translated government statement.
Canada and Mexico, meanwhile, continue to face a 25% import duty based on a previous Trump directive.
Newsom’s administration claims that California is home to over 60,000 small businesses that rely on exporting goods.
The state also ranks as the nation’s largest importer and second-largest exporter, with total two-way trade exceeding $675 billion, supporting millions of jobs statewide.
A White House spokesperson dismissed the governor’s response, suggesting Newsom should turn his attention to the challenges within his own state.
“Gavin Newsom should focus on out-of-control homelessness, crime, regulations, and unaffordability in California instead of trying his hand at international dealmaking,” Kush Desai wrote in an email.
The administration confirmed that the 10% universal tariff plan would officially take effect at 12:01 a.m. on April 5.
Following the announcement, U.S. financial markets took a noticeable hit. The S&P 500 suffered its steepest drop since the onset of the COVID-19 pandemic, closing down 6% on Thursday.
Losses continued into Friday, with the tech-heavy Nasdaq shedding 5.8% and the Dow Jones Industrial Average falling more than 2,200 points, or roughly 5.5%. The Russell 2000 Index, which monitors smaller U.S. companies, declined by 4%.
Despite the downturn, President Trump used the moment to offer a message of encouragement to investors.
“TO THE MANY INVESTORS COMING INTO THE UNITED STATES AND INVESTING MASSIVE AMOUNTS OF MONEY, MY POLICIES WILL NEVER CHANGE. THIS IS A GREAT TIME TO GET RICH, RICHER THAN EVER BEFORE!!!” Trump posted on Truth Social Friday morning.
Stupid Newsome. Time to yank a knot in his tail. He is actually a horrible governor and has done irreparable damage to CA. Can’t wait to see what the feds are gonna do to him. I hope it involves jail!
Way past time for commifornia to secede and take its electoral votes with it.
Governor “hair gel” should actually be charged with a crime against the federal government. Since the Federal Commerce Department controls all trade policies nationwide, California has no rights or authority to try to interfere with the Commerce Departments authority. There must be something he can be accused of abusing.
He does Nothing for CA day 1