The frequency of wildfires in the western United States has escalated in recent decades. Here we examine the impacts of wildfires on ground-level ozone (O3) precursors and the O3-NOx-VOC chemistry from the source to downwind urban areas. We use satellite retrievals of nitrogen dioxide (NO2) and formaldehyde (HCHO, an indicator of VOC) from the Tropospheric Monitoring Instrument (TROPOMI) to track the evolution of O3 precursors from wildfires over California from 2018 to 2020. We improved these satellite retrievals by updating the a priori profiles and explicitly accounting for the effects of smoke aerosols. TROPOMI observations reveal that the extensive and intense fire smoke in 2020 led to an overall increase in statewide annual average HCHO and NO2 columns by 16% and 9%. The increase in the level of NO2 offsets the anthropogenic NOx emission reduction from the COVID-19 lockdown. The enhancement of NO2 within fire plumes is concentrated near the regions actively burning, whereas the enhancement of HCHO is far-reaching, extending from the source regions to urban areas downwind due to the secondary production of HCHO from longer-lived VOCs such as ethene. Consequently, a larger increase in NOx occurs in NOx-limited source regions, while a greater increase in HCHO occurs in VOC-limited urban areas, both contributing to more efficient O3 production.