As a global economic leader, California remains a stable, trusted partner for international trade and investment. Here’s why.

SACRAMENTO – As President Trump’s economic agenda disrupts the national economy, sends markets spiraling, and creates trade wars with trusted partners, Governor Newsom announced last week that California is open for business. California’s economy remains the fifth largest in the world and will continue to push forward as a proven leader in global trade and investment.

“California knows the importance of trust and dependability, and unlike some folks in Washington D.C., we don’t change the rules with every presidential mood swing. California is a trusted, reliable partner for international trade and investments. We urge countries around the globe to continue to work with us — we’re open for business.”

California is a stable, predictable partner for global trade and investment. Here’s why the world should do business with the Golden State:

Global partnerships and open markets

California has already established partnerships with countries around the world, strengthening the state’s world-leading economy and helping to ensure it maintains its position as the nation’s economic leader.

California is a global powerhouse in international trade, with more than $675 billion in trade flowing in and out of the state annually — the equivalent to more than 16% of the state’s total GDP. While the state’s abundant agricultural products are sold in markets across the world, manufactured goods also dominate California exports, including computers (over $16 billion), aerospace parts and products (more than $8.3 billion), and semiconductor chips and equipment (nearly $6.5 billion). California is the nation’s top exporter in 25 sectors.

The Golden State is also consistently the top state in jobs supported by foreign direct investment (FDI). The United Kingdom and Japan, the state’s number one and two sources of investment, respectively, collectively support more than 257,000 jobs. What’s more, California’s international allies also have a sizable impact on the state’s economy through significant institutional investments that support California jobs. For example, the 8 largest pension funds in Canada have more than $100 billion invested in California.

Over the past few years, California has stepped up with partnerships on clean energy, technology, and climate with the European Union, as well as China and Canada — creating jobs, boosting local economies, and helping prepare the state for the future.

California currently has trade-focused partnerships with the following countries: Armenia, China, Japan, Norway, New Zealand, Netherlands, Australia, Sweden, Republic of Korea, Brazil, Mexico, and Norway. Many other climate-focused partnerships include expanding commercial ties with strategic allies, recognizing the importance of private sector action.

Economic stability and predictability 

California continues to establish industry partnerships and develop long-term economic strategies, building the infrastructure to give businesses confidence and consistency.

Earlier this year, Governor Newsom unveiled California’s statewide Economic Blueprint, a statewide plan built with input from 13 regional plans to drive sustainable economic growth, innovation, and access to good-paying jobs over the next decade.

Proven economic growth and resilience

California has rebounded from economic downturns faster than most, with diverse industries driving growth, from agriculture to AI.

And California’s economy shows no sign of slowing, based on the estimated growth of the 2,400 companies in the Bloomberg World Large & Mid Cap Index. The 101 companies based in California that are members of the index are poised to see revenue increasing 27% on average in 2024, while the 42 German companies will see 4.6% growth and the 156 Japanese firms 7%.

While Washington, D.C. keeps changing the rules, the international community should know California will continue standing strong as a steady and reliable international economic partner for decades to come.