President Donald Trump has pulled $4 billion in federal funding from California’s
long-delayed
high-speed rail project, escalating tensions with
Democratic Gov.
Gavin Newsom, who called the move “illegal” and vowed to challenge it.
The project, intended to link Los Angeles and San Francisco in under three hours, has faced years of delays and ballooning costs — now
estimated
at up to $128 billion, far beyond the $10 billion initially approved by voters in 2008. The Trump administration, which has long opposed the project, said Wednesday it would no longer back what it described as a “boondoggle.”
“
Federal dollars
are not a blank check,” said Transportation Secretary Sean P. Duffy, announcing the cancellation. On social media, Trump claimed he had “freed” Americans from paying for “California’s disastrously overpriced, ‘HIGH SPEED TRAIN TO NOWHERE.’”
Newsom swiftly pushed back, warning that “California is putting all options on the table” to fight what he sees as a politically motivated and unlawful funding pullback. His office pointed to progress on construction, including land acquisitions, environmental clearances, and the building of viaducts and overpasses. Officials from the California High-Speed Rail Authority (CHSRA) said the state was preparing to begin laying track — the final phase of the project.
“These are legally binding agreements,” said CHSRA CEO Ian Choudri. “This is no time for Washington to walk away from America’s transportation future.”
The first operating segment — from Merced to Bakersfield — is now expected to enter testing by 2030. Less than 25% of the project’s funding comes from federal sources; the rest is state-backed.
This is the latest in a series of clashes
between
Trump and Newsom, who is seen as a potential 2028 presidential contender. Just last month, Newsom sued the administration for deploying National Guard troops to Los Angeles without state consent amid anti-ICE protests. Earlier this year, Trump also threatened to cut federal disaster aid following destructive wildfires in Southern California.
