Gateway Tunnel construction continues despite Trump's move to terminate funding
Work continues on New York City’s $16 billion Gateway Tunnel Project, even after President Donald Trump announced plans to terminate federal funding for the critical Hudson River rail infrastructure. The multi-year project, led by Amtrak and NJ Transit, aims to replace and expand century-old tunnels damaged during Superstorm Sandy, ensuring reliability along the Northeast Corridor—the busiest passenger rail line in the U.S.
According to CBS News, construction crews remain active at Hudson Yards and four other sites, where excavation and tunnel boring preparations are underway. Officials say existing state and local financing will sustain progress in the short term, though long-term project viability may depend on restoring federal support.
The Gateway Project is considered one of the most significant transit investments in the nation, designed to prevent bottlenecks that could disrupt travel and commerce between New York, New Jersey, and other East Coast cities. Economic estimates suggest the project could generate thousands of jobs and deliver wide-ranging benefits to the regional and national economy.
Despite uncertainty over federal participation, industry and labor groups have reaffirmed support for the initiative, citing its importance to national infrastructure resilience and long-term economic growth. The project remains a central component of the region’s modernization strategy, intended to expand rail capacity and safeguard future transportation needs.
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