Gothamist
A non-profit newsroom, powered by WNYC.
Gothamist
Listen Live
News
Trump's tariffs could make MTA's sky-high construction costs even higher, agency chair says
By
Catalina Gonella
and
Ramsey Khalifeh
Published Apr 7, 2025
Share
FacebookTwitterRedditEmail
Never miss a story
Email address
By submitting your information, you're agreeing to receive communications from New York Public Radio in accordance with our Terms .
Catalina Gonella
By
Catalina Gonella
and
Ramsey Khalifeh
Published Apr 7, 2025
Share
FacebookTwitterRedditEmail
We rely on your support to make local news available to all
Make your contribution now and help Gothamist thrive in 2026. Donate today
Gothamist is funded by sponsors and member donations
MTA Chair Janno Lieber warned on Monday that President Trump’s latest round of tariffs could increase the agency’s construction costs, which are already among the highest of any transit system on the planet.
Lieber said his team was reviewing the agency’s $65 billion five-year construction plan and noted that even the MTA’s trains, manufactured in the United States, rely on imported parts from countries subject to Trump’s new levies, which range from 10% to 50%.
“When you’re dealing with complex technology, there is a worldwide supply chain,” Lieber said at a news conference. “Even when we build subway cars in New York State … there are parts that come from all over the world.”
Lieber said it’s too early to tell whether the duties will inflate the cost of the MTA’s construction plan, which still requires more than $33 billion of funding from lawmakers in Albany. But he did note the new fees, which have already sent the global economy into a panic since Trump announced them last week, “could have significant impacts” to the MTA’s operations.
According to online tracker Import Genius, the MTA imports components like rubber, bearings and metals from several countries subject to the tariffs, including Malaysia, Singapore, Brazil and China. Tariffs serve as a tax or duty on imported goods. Businesses typically move that cost onto consumers, raising the prices of products in the destination country.
The MTA’s construction department under Lieber has celebrated progress in reducing its construction costs. At the same time, the agency is also planning a $7.7 billion extension of the Second Avenue Subway into East Harlem. That project would be the costliest per-mile extension of a subway line ever built, according to researchers from New York University’s Transit Cost Project.
NYU economics professor Joseph Foudy said a global recession sparked by the new tariffs posed an even greater risk to the MTA’s bottom line. Following the Great Recession of 2008, the MTA said its ridership and revenue from dedicated taxes slipped, prompting transit officials to impose cuts to subway service.
“The MTA is now facing a risk on at least three sides,” Foudy wrote in an email to Gothamist. “They were already facing administration plans to stop congestion pricing. A tariff war threatens to drive up prices for new trains and equipment vital to increase reliability. At the same time, it may lead to a recession that would simultaneously drive down ridership and threaten state and city finances incredibly dependent on the health of Wall Street.”
Tagged
new york city
queens
Politics
transportation
Catalina Gonella
Read more
Ramsey Khalifeh
Ramsey Khalifeh is a transportation reporter on the NYC Accountability desk covering the largest transit system in the country. He was previously a general assignment reporter at Gothamist and worked on the Boston Globe's metro and copy desk. Got a tip? Email [email protected]
Read more
Gothamist is funded by sponsors and member donations
Gothamist is funded by sponsors and member donations
MORE news
NYPD searching for suspect after fatal stabbing in Queens
Officers responding to a call at the intersection of Jamaica Avenue and 173rd Street around 1 a.m. found 29-year-old Sulimon Ferrier, who had multiple stab wounds to his chest, police said.
By
Ben Feuerherd
Published Oct 3, 2026 at 4:38 p.m. ET
NYPD: 2 suspects in off-duty officer stabbing tried to rob victim
It’s unclear if the attackers knew the victim was NYPD.
By
Jill Webb
News
NYPD: 2 suspects in off-duty officer stabbing tried to rob victim
It’s unclear if the attackers knew the victim was NYPD.
By
Jill Webb
Astoria-born Chip City announces sudden closure days after former CEO sues
By
Catalina Gonella
US judge tosses Trump lawsuit targeting pro-Palestinian protesters in NJ
By
Willow Higgins
A big, bright Saturn will be the highlight of NYC's fall stargazing season
By
Rosemary Misdary
Never miss a story
Catch up on the most important headlines with a roundup of essential NYC stories, delivered to your inbox daily.
Sign upEmail address
By submitting your information, you're agreeing to receive communications from New York Public Radio in accordance with our Terms .