Assembly select committee hears how federal tariffs and shifting trade patterns are hitting California businesses

Assemblymember Jessica Colosa convened the first hearing of the California State Assembly Select Committee on Asia, California Trade and Investment to examine the state’s economic ties with Asia and the effects of recent federal tariffs. The committee heard testimony from the lieutenant governor, consular officials, chamber leaders, economic researchers and small-business representatives about how tariffs and policy uncertainty are affecting ports, manufacturers, tourism and education programs across California.

“What is in our control? What are the bridges that we can build, to really advance California and to lead?” Colosa asked at the opening of the hearing, framing the meeting’s focus on state-level responses rather than federal policymaking.

California lieutenant governor Eleni Kounalakis told the committee that the state’s economic links with Asia are large and growing and that federal trade actions are imposing measurable costs. Quoting an Axios analysis, she said, “California consumers and businesses have paid $11,300,000,000 in tariff related costs or tariff taxes just in the first 6 months of this year.” Kounalakis described longstanding trade ties and recent state-level engagement—trade missions, subnational…