MTA warns tariffs could add $1 billion to transit procurement costs

The Metropolitan Transportation Authority (MTA) estimates that federal tariffs could increase its procurement costs for trains and buses by up to $1 billion. An analysis presented to the agency's board warns that these additional expenses could reduce the capacity to invest in modernizing the transit system.

While many vehicles, such as the R211 subway cars assembled in Nebraska and Yonkers, use over 75% domestic parts, specialized components must still be imported due to a lack of domestic alternatives. Increased costs for these imports raise the overall price of units. The MTA notes that the $1 billion impact is equivalent to the cost of approximately 250 subway cars for lines 1 through 6, nearly 1,000 buses, or 150 M9-A cars for the Long Island Rail Road.