Biden, Kishida likely to discuss Texas bullet train project, sources say
09/04/2024 07:09
By Tim Kelly and Trevor Hunnicutt
TOKYO/WASHINGTON, April 9 (Reuters) - President Joe
Biden is seeking to revive interest in a plan to build the first
high-speed rail in the U. S. using Japanese bullet trains, with
sources saying he is likely to discuss the project with Japan's
prime minister in Washington this week.
The leaders may publicly voice support for the
multi-billion-dollar Texas project after Wednesday's talks,
which have been partly overshadowed by U.S. opposition to
another Japanese investment, Nippon Steel's planned purchase of
U.S. Steel.
Prime Minister Fumio Kishida's state visit to Washington,
the first by a Japanese leader in nine years, aims to showcase
closer security and economic ties between the allies.
The project linking Dallas and Houston will be on the agenda
for the talks, said three sources familiar with summit
preparations, who sought anonymity as they were not allowed to
speak to the media.
It is likely to be mentioned in joint statements following
the talks, two of the sources said.
However, a senior Biden administration official said the
project did not appear to have matured to the point where the
leaders would announce progress publicly.
All the sources cautioned that the details of the final
agreements could change before the visit.
Japan's foreign ministry declined to comment, saying the
governments were still coordinating joint statements from the
talks. The White House declined to comment.
Support from the leaders could unlock new cash from the
Federal Railroad Administration and other Department of
Transportation funds.
But the project, estimated to cost between $25 billion and
$30 billion, still faces potential hurdles in Texas and the U.S.
Congress.
Biden's Transportation Secretary Pete Buttigieg has voiced
support for the plan.
"We believe in this," he said in an interview with NBC 5 on
Sunday. "Obviously it has to turn into a more specific design
and vision but everything I've seen makes me very excited."
With its vast distances between major cities, huge commuter
population, and dearth of public transport the United States has
attracted multiple high-speed rail proposals.
But none have ever been built, blocked by political
wrangling, land ownership riddles and skyrocketing costs.
A train linking Houston and Dallas, the U.S.'s fourth and
fifth biggest metropolitan areas by population, has been
discussed since the 1980s. Previous efforts were stymied by the
objections of private landowners along its route.
Biden and Kishida's support, say the project's advocates,
will help attract money from private investors for a "shovel
ready" plan.
The 240-mile (380-km)-long rail link, which will be built
and operated by Texas Central Partners and Amtrak, is expected
to cut travel times between the cities to about 90 minutes, from
3-1/2 hours by car.
Japanese state lenders, including the Japan Bank for
International Corporation, have provided loans to help develop
the project, which is procuring shinkansen bullet train
technology from Central Japan Railways Company.
Progress with the project would be a win for the Biden
administration, which has pushed climate-friendly policies and
rail investment.
But it is likely to draw criticism, particularly from
hardline Republican lawmakers in the U.S. House of
Representatives who have opposed using public funds for rail
projects in the past, and oppose using them now to rebuild
Baltimore' Francis Scott Key Bridge, which was destroyed by a
cargo ship last month.
Plans for a possible nod of support from leaders follow
Biden's opposition to Nippon Steel's plan to buy U.S. Steel
Corp, saying it must remain in U.S. hands.
Biden, who signed a $1-trillion infrastructure bill in 2021
that includes $66 billion for rail projects, will face Donald
Trump in November's presidential election rematch.
With voters rating the economy at the top of their concerns,
Democratic president Biden has pushed government-backed building
projects that his aides argue could create jobs and relieve
inflation pressures.
(Reporting by Tim Kelly in Tokyo, Trevor Hunnicutt, Andrea
Shalal and David Brunnstrom in Washington and Brad Brooks in
Longmont, Colorado; Editing by Heather Timmons, John Geddie and
Clarence Fernandez)
((tim.kelly@thomsonreuters.com; +813-6441-1311;))