California ports are experiencing worse conditions than during the Covid-19 pandemic because of President Donald Trump's trade war with China and other Asia-Pacific economies, which has damaged the state's economy, caused massive job losses and led to billions of dollars in budget cuts.
"The number of cancelled ship arrivals exceeds the numbers from the Covid-19 era," He told Mario Corderothe head of the Port of Long Beach, to CalMatters. The Port of Long Beach supports 2.7 million U.S. jobs, 1.1 million of which are in California, according to a May 12 analysis.
Business expert Paul Bingham from S&P Global Market Intelligence confirmed an unprecedented crisis: "We would have to go back 90 years to the 1930s to find similar tariffs." California faces a $12 billion budget deficit, which Governor Gavin Newsom blames on Trump's "chaotic customs strategy".
The Port of Long Beach dropped from 20 to 14 ships per week in May 2025. In Los Angeles, 17 of 80 scheduled ships were cancelled. The Port of Oakland has seen a 15% decrease in activity. Port workers are facing a loss of hours, with some truckers working only 1-2 days per week.
California has strong ties to Asia-Pacific markets - Chinese goods account for 40 % of imports in Los Angeles, 63 % in Long Beach, and 45 % in Oakland. The Port of Long Beach generates $309 billion in GDP and $84.4 billion in taxes annually.
The agricultural sector, key to California, suffered losses. Almond farmers lost the Chinese market due to the 2018 tariffs, with almond prices falling from $2.5 to $1.4 per pound. Uncertainty around tariff policies is causing significant damage to businesses.
Economists warn of the risk of a recession. The International Monetary Fund has cut its growth forecasts for the US and global economy because of tariffs. According to analysts, there is a risk "self-inflicted recession" On Wednesday, the Court of International Trade struck down Trump's tariffs because it said they were not authorized by the IEEPA.
Xinhua/gnews.cz - GH