US Car Tariffs Boosts Public Transit Amid Rising Costs

President Donald Trump’s auto tariffs are expected to significantly impact car prices, forcing consumers to consider alternative transportation options like public transit. With prices projected to rise by thousands of dollars annually, many Americans may turn to the US transit system as a viable alternative.

Public transit advocates believe that soaring car costs will push more people towards using public transport, thereby stimulating government investment in improving service. In 2023, a study calculated that Americans could save over $13,000 a year by using public transit instead of driving.

The added cost of the tariffs may not deter wealthier families from purchasing new cars but could affect low-income households and younger buyers who are already struggling with car payments or may delay purchases due to financial constraints. Furthermore, a boost in public transit would also benefit the environment as it can reduce emissions by up to two-thirds per passenger compared to private cars.

While there have been instances of economic shocks leading to increased transit usage, historical US policies have prioritized building roads over investing in transit infrastructure. The transportation sector is responsible for over 28% of greenhouse gas emissions in the United States.

Public transit agencies are facing budget shortfalls and service cuts due to low ridership levels, with some cities experiencing declines of up to 15% in transit agency budgets. To address this issue, advocates argue that localities, states, and the federal government must invest more in frequent and reliable transit services.

The current funding for public transit is predominantly from state and local governments, whereas the federal government devotes a larger portion of its gas tax funds towards road infrastructure projects. This disparity has led to concerns about unequal distribution of resources between roads and transit systems.

In light of this situation, advocates are turning their attention to ballot box initiatives to fund mass transit, with 46 out of 53 ballot measures passed in 2024 providing $25 billion for various transit-related projects.

Source: https://edition.cnn.com/2025/04/10/business/transit-buses-trains-tariffs/index.html