California Governor Gavin Newsom has taken early steps toward a potential 2028 presidential bid, traveling out of state to campaign-style events even as his home state grapples with the highest unemployment rate in the nation.
🚨 California has reached a new low under @CAgovernor @GavinNewsom : the state’s unemployment rate rose to 5.4% in June 2025, tying Nevada for the highest in the nation. Newsom repeatedly boasts that California is the world’s fourth-largest economy, with a GDP of $4.1 trillion,… pic.twitter.com/K8hfmpDlbV
— Houman David Hemmati, MD, PhD (@houmanhemmati) July 19, 2025
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Earlier this month, Newsom traveled to South Carolina to meet with voters and attend events in rural communities.
. @GavinNewsom is bringing his Crazy California agenda to South Carolina.
U-Haul’s 2024 report says it all: people are leaving California and heading here.
He’s following the trucks — but we’re not buying what he’s selling. https://t.co/Syne3EcDRB pic.twitter.com/al4IqzPd84
— South Carolina Republican Party (@SCGOP) July 7, 2025
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The trip coincided with a series of active wildfires across California and raised questions about the governor’s priorities.
South Carolina now holds the first position in the Democratic Party’s presidential primary calendar, making the visit a strategic stop for any potential candidate seeking national office.
While Governor Newsom continues to position himself as a leading Democratic critic of President Donald Trump and other Republican leaders, economic data from his own state may complicate his national ambitions.
According to the U.S. Bureau of Labor Statistics and reporting from the San Francisco Chronicle, California posted a 5.4% unemployment rate in June — the highest in the country, tied with Nevada.
Governor Newsom: “Our economy is thriving.” Official government data: “California leads the nation in unemployment and poverty.” https://t.co/bQnVmtZW1c
— Kevin Kiley (@KevinKileyCA) July 19, 2025
The figure represents a 0.1 percentage point increase from the previous month. Federal data released Friday showed that the state experienced a net loss of 6,100 jobs during the month.
The employment report highlighted that while sectors such as health care and government added jobs, other major areas of California’s economy saw contraction.
The business and professional services sector alone accounted for 9,900 job losses.
Additionally, preliminary May job gains were revised downward to 11,700, a decrease of 6,000 from the original estimate of 17,700.
Though a 5.4% unemployment rate is not historically considered high — it remains just under the 5.5% threshold once cited by economists as the “Non-Accelerating Inflation Rate of Unemployment” (NAIRU) — California’s job performance still lags behind the rest of the country.
Nationally, unemployment remains lower than in California, including in many states with less aggressive regulatory environments and fewer progressive labor mandates.
Critics have pointed to California’s strict business regulations, high cost of living, and elevated tax rates as contributing factors to its economic underperformance.
The national economy is increasingly strong. Imagine what it would be without Newsom dragging us down.
America: 4.1% unemployment, +1 million jobs, $3.15 gas, wages up, inflation down
CA: 5.4% unemployment, negative job growth, $4.50 gas, wages stagnant pic.twitter.com/Li4BuwA9hy
— Kevin Kiley (@KevinKileyCA) July 18, 2025
Governor Newsom has continued to defend his administration’s policies while also promoting California as a model for the nation.
In the past year, he has launched high-profile campaigns targeting red states, funding advertisements in Florida, Texas, and other Republican-led states while touting California’s progressive policies.
However, the rising unemployment rate, combined with persistent issues such as homelessness, housing shortages, and ongoing outmigration from the state, could provide ammunition for opponents as Newsom seeks a broader national role within the Democratic Party.
Newsom has not formally declared a presidential campaign but has made repeated visits to key battleground states and elevated his national profile through media appearances and out-of-state travel.
Meanwhile, California continues to face economic headwinds. State analysts have warned of significant budget shortfalls in the coming fiscal years, with declining tax revenues and growing demands on public services further complicating the economic outlook.
The governor’s out-of-state political activity, set against a backdrop of economic instability at home, is likely to remain a point of focus as speculation grows around his potential 2028 candidacy.