It looks like President Donald Trump is taking his frustrations with Governor Gavin Newsom out on the state of California. Trump said on Wednesday the Transportation Department is rescinding $4 billion in U.S. government funding for California’s High Speed Rail project.
“This project was severely overpriced, overregulated, and never delivered,” Trump said in a social media post. “The railroad we were promised still does not exist and never will.”
“California is putting all options on the table to fight this illegal action,” California Governor Gavin Newsom said in a statement.
The conflict between Trump and Newsom started when Trump deployed roughly 4,000 National Guard troops and 700 Marines to Los Angeles to address immigration-related unrest and protests. Newsom immediately pushed back, filing a lawsuit, Newsom v. Trump, arguing the federal troop deployment violated the Posse Comitatus Act, which limits the use of the military in domestic law enforcement, as well as the Tenth Amendment protecting state sovereignty. Newsom condemned Trump’s actions as unconstitutional overreach and authoritarian, intensifying the public dispute between the two leaders.
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This is the latest in a series of clashes between Trump and California, including over transgender athletes, electric vehicle rules, the use of National Guard troops in Los Angeles and even over egg prices.
The California High-Speed Rail (CAHSR) project is a large-scale infrastructure initiative aimed at creating a fast, efficient train system connecting major cities across California. The planned route stretches from San Francisco in Northern California to Los Angeles and Anaheim in Southern California, with future extensions envisioned. The trains are designed to travel at speeds up to 220 miles per hour, significantly reducing travel times compared to driving or flying and offering a greener alternative to road and air travel.
Voters approved the project in 2008, initially estimated to cost around $33 billion. However, over the years, the scope has expanded, and costs have ballooned to an estimated $89 billion to $128 billion as of 2025. Construction began primarily in the Central Valley, where several segments and structures have been completed, and tracks are being laid. The project aims to relieve traffic congestion, reduce greenhouse gas emissions, and stimulate economic development throughout the state.
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Despite its potential benefits, the California High-Speed Rail has faced numerous challenges, including budget overruns, delays, political opposition, and concerns about management and funding. The Trump administration notably cut $4 billion in federal funding in 2025, citing inefficiency and missed deadlines, which intensified debates over the project’s future and its role in California’s transportation landscape.
“Canceling these grants without cause isn’t just wrong — it’s illegal,” said California High-Speed Rail Authority CEO Ian Choudri. “These are legally binding agreements, and the Authority has met every obligation … This is no time for Washington to walk away on America’s transportation future.”
In a post on social media platform X, Transportation Secretary Sean Duffy said “Newsom and California’s high-speed rail boondoggle are the definition of government incompetence and possibly corruption.”
Newsom responded to the post, “Won’t be taking advice from the guy who can’t keep planes in the sky.”