SAN JOSE — A California government economics expert offered San Jose business leaders assurances they can navigate tariffs and other financial turbulence, and also sketched a view of a robust economy despite the state’s feeble job market.

Derek Kirk, a top advisor with the California Governor’s Office of Business and Economic Development, also known as GO-Biz, spoke recently at a San Jose Chamber of Commerce Power Breakfast, one of a series of events featuring influential figures who are important to the business community. PG&E is presenting the series.

Kirk touted California’s status as the world’s fourth-largest economy — even though the state has one of the nation’s weakest job markets and has lost tens of thousands of jobs so far in 2025.

“There’s a lot of rhetoric coming out of D.C. right now,” said Kirk, referring to President Donald Trump and his administration. “But there also are some occasional bright spots of collaboration with our federal partners.”

In recent months, the Trump administration certified all 13 regional plans for economic development in California, according to Kirk. The certification bolsters the state’s efforts.

California’s quest to custom-tailor economic development for 13 regions statewide is part of Gov. Gavin Newsom’s $245 million program to spur job growth.

During an interview prior to the presentation, Kirk said California government officials are focused on helping small and large businesses prosper.

“We are focused on ensuring that we can help businesses move at the speed of industry, which isn’t always the easiest thing to do in California,” Kirk said.

Efforts include a push to improve the administration of the California Environmental Quality Act.

“The governor has done a lot the last couple of years to speed up permits, to streamline CEQA, and to ensure that businesses are able to move and develop and create jobs,” Kirk said.

Critics believe CEQA has hobbled homebuilding and development projects.

“We hear a lot about how California’s regulatory regime is too intense, too prohibitive,” Kirk said.

Generalized business and industry complaints don’t offer sufficient guidance, he said.

“Let’s get specific,” Kirk said. “What are the exact permits, what are the exact issues that businesses are facing. Let’s start tackling those and taking one bite of the apple at a time.”

Newsom has signed more than 50 bills to streamline the CEQA process, Kirk stated.

Tariffs are having an impact on some small businesses in the Bay Area’s largest city, according to San Jose Chamber of Commerce President Leah Toeniskoetter.

“In Japantown, small vendors who are importing their goods to sell here at retail said their biggest challenge is now their costs have gone up,” Toeniskoetter said. “They are raising prices. From what we’ve heard from our small businesses, they have to raise prices. They cannot absorb the cost.”

Despite the rosy depiction of California’s economy, the state’s job market appears to be frail at present.

While California managed to gain 17,700 jobs in April, according to the most recently available jobs report released by the state Employment Development Department, it wasn’t enough to overcome the brutal job market so far this year, an analysis of figures show.

Including the gains in April, over the first four months of 2025, the state lost 32,300 jobs, EDD reports show.

From January-through-March, California’s job performance was so weak that it was ranked No. 48 among the 50 states.

“California’s economy is incredibly diverse,” Kirk said when asked to comment about the state’s low ranking in comparison to its peers.

When asked about the job market specifically, Kirk replied, “California’s economy is incredibly unique. We continue to work with businesses to ensure that we are supporting their job creation efforts, and equally important to ensure that Californians have access to those jobs.”