Government shutdown puts vital Northeast tunnel project in peril — again

By Ry Rivard | 10/02/2025 12:53 PM EDT

How long the Trump administration will withhold money and what it means for the Gateway tunnel linking New York and New Jersey is unclear.

An old Hudson River tunnel slows trains between New York and New Jersey.

An old Hudson River tunnel slows trains between New York and New Jersey and is one barrier to starting high-speed rail on Amtrak's Northeast Corridor. John Minchillo/AP

On Wednesday, the future of the $16 billion train tunnel between New York and New Jersey was thrown into chaos, with thousands of construction jobs and the fate of commuters across the Northeast hanging in the balance.

And not for the first time.

As part of a budget spat with Democrats that prompted a shutdown of the federal government, the Trump administration threatened to withhold money from the project, which its boosters consider vital for the nation’s busiest stretch of passenger railroad.

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How long the Trump administration will withhold money and what it means for the tunnel is unclear. Work was continuing for the short term, because of the way it is budgeted.

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