California's GDP rises to 4th in the world—an achievement of economic growth surpassing Japan

Shockingly, the California Governor’s Office has announced a major development. According to the latest data from the International Monetary Fund (IMF) and the U.S. Bureau of Economic Analysis, California’s economic size has reached a level that significantly alters the global ranking.

Achieving $4.1 Trillion—IMF Official Data Shows Rapid Economic Expansion

California’s GDP has now reached $4.1 trillion, surpassing Japan’s previous ranking of $4.02 trillion, which was considered the world’s fourth-largest economy. This data indicates that California now ranks alongside the world’s top three economies—the United States, China, and Germany. The growth of a single state’s economy to this extent is driven by a diversified industrial base, including technology, agriculture, and tourism.

7.5% Annual Growth Rate Over the Past Four Years—Outpacing the Top Three in the World

Another notable point is California’s economic growth rate. From 2021 to 2024, the nominal GDP has grown at an average annual rate of 7.5%, significantly outpacing major advanced economies such as the United States, Japan, and Germany. This sustained growth has rapidly increased California’s economic prominence.

Why Is California’s Economy Expanding Rapidly?

The reason California has surpassed Japan in economic size is no coincidence. The rapid development of the technology industry centered in Silicon Valley, the relocation of global corporate headquarters, and accelerated digital investment have become the engines of this growth. Additionally, California’s GDP growth rate remaining at a top global level suggests that its economic advantage is likely to continue in the future.