California’s population has reversed a multi-year trend of decline, growing by 0.6% in 2024 to reach 39.43 million residents. The increase—about 108,000 people—marks a second consecutive year of growth for the state following steep drops in population during the COVID-19 pandemic. According to the California Department of Finance, this turnaround has been driven largely by a resurgence in international immigration, particularly from Asia and Latin America, as well as a modest uptick in natural population growth.
The most significant contributor to the state’s demographic rebound has been net international immigration, which added more than 300,000 people to California’s population in 2024. This marks a strong recovery after pandemic-related restrictions and federal policy changes severely curtailed the number of newcomers in 2020 and 2021. Notably, skilled labor migration through the H-1B visa program accounted for a major portion of this inflow. Nearly 79,000 H-1B workers arrived in California last year, many employed in the technology, healthcare, and engineering sectors by companies such as Google, Apple, and Meta.
The immigration pattern also reveals a shifting demographic trend. Data from recent years shows that immigrants from Asia are becoming a larger portion of new arrivals than those from Latin America. As of 2022, approximately 46% of California’s immigrants came from Asian countries, while 38% originated from Latin America. This represents a notable demographic transition from previous decades when Latin American countries, particularly Mexico, were the dominant source of immigration into the state.
Natural population growth—births minus deaths—also contributed to California’s modest expansion. The state recorded a net natural increase of approximately 114,800 people in 2024. At the same time, the rate of domestic outmigration—California residents moving to other U.S. states—continued to slow. The net domestic outflow dropped to 197,000 in 2024, down from over 249,000 the year before. This decline in people leaving the state suggests that while challenges such as high housing costs persist, they may be having a slightly diminished effect on migration behavior.
Governor Gavin Newsom welcomed the data as a sign that California’s underlying economic strength and global appeal remain intact. In a statement, Newsom said, “California continues to be a beacon for innovation, diversity, and opportunity. Our population growth demonstrates that people from around the world still see a future here.” However, he also acknowledged that the state must do more to address housing affordability and infrastructure to accommodate continued growth.
Yet, despite the positive momentum, challenges loom on the horizon. With President Donald Trump back in office, questions about future federal immigration policies have cast uncertainty over California’s demographic trajectory. The Trump administration is widely expected to pursue stricter immigration controls, including potential reductions in legal immigration pathways such as the H-1B program and family reunification visas. Should these changes materialize, California could see slower population growth in the coming years.
Economists and demographers caution that any reduction in immigration would have significant implications for California’s labor market and economic vitality. Immigrants, especially those with technical and specialized skills, are a critical component of the state’s workforce. They also contribute to population replacement in a state where birth rates have steadily declined and where the median age continues to rise.
The state also faces the ongoing challenge of ensuring housing and services keep pace with its growing and diversifying population. Urban centers like Los Angeles, San Francisco, and San Jose remain magnets for newcomers, but high costs of living in these areas could push more people to outlying regions, straining infrastructure and local economies.
As California looks toward the remainder of the decade, the dynamics of immigration, internal migration, and federal policy will play crucial roles in shaping its demographic and economic future. The state’s ability to attract, retain, and support a diverse population will determine whether the recent population growth becomes a sustained recovery or a short-lived reprieve.
