California's High-Speed Rail Hits a Federal Funding Snag

The Trump administration has significantly impacted California's high-speed rail project by revoking USD 4 billion in federal funding. This move, announced by the US Transportation Department, increases the challenges already facing the long-delayed project.

President Trump and Transportation Secretary Sean Duffy criticized the project as the 'train to nowhere'. The withdrawal of funds adds to a series of actions by the Trump administration targeting California, including measures against regulations and educational institutions.

With voters initially approving the project in 2008, the high-speed rail was planned to operate within this decade. However, escalating costs and timeline delays have forced state officials to refocus efforts on a shorter segment in the Central Valley. The search for private investment to meet the projected USD 100 billion cost remains a key priority.

(With inputs from agencies.)