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California’s trucking industry is collapsing—and the consequences reach far beyond the state. Bankruptcies are surging, freight demand has cratered, and thousands of drivers are leaving California just as federal funding is being withheld. Headlines say Governor Gavin Newsom is panicking, but the reality is more complex—and more dangerous. In this video, we break down the perfect storm behind the crisis: the worst freight recession on record, California’s AB5 law dismantling the owner-operator model, escalating federal crackdowns on commercial licenses, and clean truck mandates that the technology simply can’t support. While Sacramento and Washington clash politically, trucking companies are failing in real time. This isn’t just a California problem. With over 40% of U.S. imports flowing through the state’s ports, what happens here threatens the entire national supply chain. Is this political miscalculation, unavoidable economic reality, or a warning of what’s coming next for American trucking?