Trump Halts New York City’s Congestion Pricing Toll System

19 Feb at 3:37 pm

2061 posts

Trump Halts New York City’s Congestion Pricing Toll System \ Newslooks \ Washington DC \ Mary Sidiqi \ Evening Edition \ The Trump administration has ordered an end to New York City’s congestion pricing tolls, a program aimed at reducing traffic and funding public transit. The decision has sparked political clashes, with Governor Kathy Hochul vowing to fight the move in court. The toll system, which had already shown measurable reductions in traffic, is now in jeopardy as federal officials work with the state to shut it down.

Trump Ends NYC Congestion Pricing: Quick Look

The Trump administration halted New York City’s congestion pricing program on Wednesday.
The toll system, launched in January, charged most vehicles $9 to enter lower Manhattan.
U.S. Transportation Secretary Sean P. Duffy called the toll unfair to working-class Americans.
The Federal Highway Administration is overseeing the program’s termination.
Trump celebrated the move, declaring on Truth Social, “CONGESTION PRICING IS DEAD.”
Gov. Kathy Hochul and transit advocates plan to fight the decision in court.
The toll aimed to reduce traffic, fund subway improvements, and cut pollution.
The move reignites political tensions between Trump, New York leaders, and transit advocates.

Deep Look

In a major policy shift, President Donald Trump’s administration has officially ordered an end to New York City’s congestion pricing program, a controversial toll system aimed at reducing traffic congestion and generating revenue for public transit improvements. The decision has sparked an intense political battle, with New York Governor Kathy Hochul and transit advocates preparing to challenge the move in court.

The federal Department of Transportation (DOT) rescinded its approval of the program on Wednesday, with U.S. Transportation Secretary Sean P. Duffy calling the toll unfair and harmful to working-class Americans and small businesses. Trump, who has been a vocal opponent of the congestion pricing system, celebrated the decision on Truth Social, declaring, “CONGESTION PRICING IS DEAD.”

The move has profound implications, not only for traffic and transit in New York City but also for national transportation policy, as congestion pricing was being closely watched as a potential model for other U.S. cities.

How the Congestion Pricing System Worked

The New York congestion pricing program, which launched on January 5, 2025, was the first of its kind in the United States. The system automatically charged drivers a $9 toll to enter Manhattan south of Central Park, using license plate readers to track vehicles. The fee varied based on vehicle size and time of day, with larger vehicles like trucks facing higher tolls, while the fee dropped to $2.25 overnight—cheaper than a single subway fare.

New York officials designed the system to discourage unnecessary driving, reducing gridlock in one of the world’s most traffic-congested areas. The revenue from the tolls was earmarked for bonds that would fund billions of dollars in improvements to New York City’s aging subway and bus system, which serves over 4 million riders daily but has long suffered from chronic underfunding, delays, and infrastructure issues.

Trump Administration Shuts Down the Plan

Despite the program’s intended benefits, the Trump administration abruptly revoked federal approval, effectively shutting down the congestion pricing system just weeks after its launch. Transportation Secretary Sean P. Duffy justified the move by arguing that the policy disproportionately burdened working-class drivers and small businesses.

“The toll is a slap in the face to New Yorkers who can’t afford to live in Manhattan and depend on their cars,” Duffy said. He also noted that small business owners, including delivery drivers and tradespeople, faced rising costs due to the tolls.

The Federal Highway Administration (FHWA), which originally signed off on the program under the Biden administration, is now overseeing an “orderly termination” of the congestion pricing system in cooperation with New York State officials.

Trump’s Personal Stake and Celebration

Trump has opposed the congestion pricing plan since it was first proposed, and his real estate holdings in Manhattan—including Trump Tower on Fifth Avenue—fall within the congestion zone. Critics have accused him of acting in self-interest rather than public interest, though Trump has maintained that the tolls were simply bad policy.

Following the DOT’s decision, Trump took a victory lap on Truth Social, posting:

“CONGESTION PRICING IS DEAD. Manhattan, and all of New York, is SAVED.”

He later added a playful but pointed jab at his critics, writing, “LONG LIVE THE KING!” The White House followed up with an image of Trump wearing a crown, standing in front of the New York City skyline—a clear provocation aimed at New York’s leadership.

Hochul and Transit Advocates Vow Legal Battle

Governor Kathy Hochul, a Democrat, responded swiftly and sharply, vowing to fight the Trump administration’s decision in court. She emphasized that New York had already filed a lawsuit to protect the congestion pricing plan, and she framed Trump’s decision as federal overreach.

“We are a nation of laws, not ruled by a king,” Hochul said. “We’ll see you in court.”

Hochul’s stance on congestion pricing has evolved over time. Last June, she suspended the planned July 2024 launch of the program, citing concerns over economic recovery and the potential financial strain on drivers. However, following Trump’s re-election in November, she revived the plan, though she lowered the original toll from $15 to $9 to soften opposition.

The Broader Debate: Traffic Relief vs. Economic Burden

The congestion pricing toll has long been a polarizing issue, drawing both praise and criticism:

Supporters Say It Benefits the City:

Reduces gridlock and improves traffic flow in Manhattan.
Encourages more people to use public transit, leading to less air pollution.
Helps fund subway repairs and transit expansion, benefiting millions of daily riders.
Makes streets safer for pedestrians and cyclists by cutting excess traffic.
Ensures first responders, delivery trucks, and essential workers face fewer road delays.

Opponents Argue It Hurts Working-Class Residents:

Unfairly penalizes suburban and outer-borough drivers who have limited transit options.
Increases costs for small businesses, truckers, and delivery drivers.
Fails to address post-pandemic economic struggles, potentially hurting tourism and local businesses.
Amounts to a hidden tax on middle-class commuters, while wealthier Manhattan residents avoid paying.

Political Fallout and the Future of U.S. Congestion Pricing

The congestion pricing battle is far from over. While Trump has successfully halted the program for now, lawsuits could determine whether New York can revive it in some form. The case may also set a precedent for other U.S. cities that have considered similar tolling measures.

New Jersey Democratic Governor Phil Murphy had already fought the congestion pricing plan in court, arguing that it unfairly penalized New Jersey commuters traveling into Manhattan for work. In a letter to Trump on Inauguration Day, Murphy personally urged him to kill the program—a request that now seems to have been granted.

Meanwhile, New York City Mayor Eric Adams, a Democrat who once supported congestion pricing, has distanced himself from the controversy. When asked about Trump’s move, he appeared reluctant to challenge the administration, saying:

“If the federal government has the authority to do something within their powers, then we can’t sit back and complain about it, because we do things within our powers.”

What Happens Next?

With the Federal Highway Administration overseeing the shutdown of congestion pricing, it’s unclear whether New York leaders will find a way to reinstate the program in a different form. If the lawsuit against the Trump administration gains traction, congestion pricing could return in the future, but for now, the city will have to find alternative funding sources for its subway and transit improvements.

As the legal and political fight continues, one thing is clear: New York’s battle over congestion pricing is far from over.