Trump pulls rail funding for California, Newsom vows to keep laying track

The long-running feud between President Donald Trump and California Gov. Gavin Newsom has a new battleground: high-speed rail. On Wednesday, July 16, Trump took to Truth Social to slam the Golden State’s rail project, the governor and what he insists is a waste of taxpayer dollars. 

The rail line is planned to run through the Central Valley, ultimately connecting Los Angeles to San Francisco.

Federal grants, totaling about $4 billion, were approved during the Obama and Biden administrations, dating back to 2009. But in a letter sent in June, the U.S. Department of Transportation informed California that the Federal Railroad Administration was terminating the funding agreement.

The DOT cited missed deadlines, budget shortfalls and incorrect estimates of expected ridership. According to Politico, the project cost has now ballooned to $128 billion — up from an original estimate of $33 billion.

Trump blasts rail project 

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Unbiased. Straight Facts.^TM

California’s high-speed rail project, which was originally expected to cost $33 billion, now has a price tag of nearly $130 billion.

In his post on Truth Social, Trump wrote:

“I am thrilled to announce that I have officially freed you from funding California’s disastrously overpriced, ‘HIGH SPEED TRAIN TO NOWHERE.’ This boondoggle, led by the incompetent Governor of California, Gavin Newscum, has cost Taxpayers Hundreds of Billions of Dollars, and we have received NOTHING in return except Cost Overruns. The Railroad we were promised still does not exist, and never will.”

Newsom was quick to respond, accusing the Trump administration of  “illegally” canceling the funding. 

Newsom said the project is entering the track-laying phase, spanning more than 170 miles with the building of at least 50 rail structures, including bridges and viaducts. He added that ridership is expected to begin sometime between 2030 and 2033.

In a sharply worded statement, Newsom wrote:

“Trump wants to hand China the future and abandon the Central Valley. We won’t let him. With projects like the Texas high-speed rail failing to take off, we are miles ahead of others … and building America’s only high-speed rail. California is putting all options on the table to fight this illegal action.” 

Newsom added that high-speed rail is a key part of his agenda for job creation and infrastructure investment in California. 

A history of clashes

This is the latest flashpoint in a turbulent relationship between Trump and Newsom.

Last month, Trump deployed hundreds of California National Guard members and U.S. Marines to Los Angeles during protests over immigration enforcement. Newsom challenged the move in court, but a federal appeals court sided with the president, allowing the deployment to continue. On Tuesday, July 15, Trump released about 2,000 National Guard members whom he had previously deployed.

Earlier this month, Newsom visited South Carolina, an early 2028 presidential primary state, to rally Democrats ahead of the 2026 midterms — sparking speculation that he’s eyeing a 2028 presidential run.

Ella Rae Greene, Editor In Chief

Ella Greene

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