$16B Gateway Tunnel Project Bores Ahead
As Feds Drop Appeal to Block Funding
NEW YORK—Work on the Gateway Tunnel project is now progressing full steam ahead as the federal government earlier this month dropped its appeal that sought to block funding for the $16-billion project.
With that black cloud lifted, the project reached a significant milestone on Monday, Sept. 28 when Gateway Development officials were joined by a host of transportation and government officials from New Jersey and New York in celebrating the start of tunnel boring for the Hudson Tunnel Project.
In the coming days, final testing will be completed and the first tunnel boring machine that will be used to build the new train tunnel under the Hudson River will begin digging, GDC officials stated. A second machine will launch soon after.
The two tunnel boring machines launching this fall will bore approximately one mile through the hard rock under the Palisades Cliffs in New Jersey to the Hudson County Access Shaft on the border of Weehawken and Hoboken, NJ. These two machines will be removed via the access shaft and replaced with a second pair of machines that will build the section of the tunnel under the Hudson River.
The machines are expected to build roughly 30 feet of tunnel per day, including scheduled pauses for maintenance. They will reach the Hudson County Access Shaft approximately one year after launching. The first phase of tunnel boring is being completed by Schiavone Dragados Lane JV as part of the contract for the Palisades Tunnel Project construction package. The Port Authority of New York and New Jersey is managing delivery of this construction package in partnership with GDC.
New York Gateway Development Commission Co-Chair Alicia Glen said, “New York City doesn’t work without efficient, dependable public transportation. The Hudson Tunnel Project will finally fix one of the key weaknesses in our region’s rail network, and we will feel the benefits for generations. Starting tunnel boring sends a clear signal: we are getting this tunnel done. I’m thrilled to celebrate this achievement and GDC’s commitment to seeing this vital investment in public transit through.
Published: September 30, 2026.