California sues Trump administration for illegally withholding billions in bipartisan infrastructure funds: ‘Another Trump gift to China’
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May 7, 2025

California sues Trump administration for illegally withholding billions in bipartisan infrastructure funds: 'Another Trump gift to China'

What you need to know: California and 16 other states today filed a federal lawsuit accusing President Trump of unlawfully withholding billions of dollars approved by bipartisan majorities in Congress for electric vehicle charging infrastructure that would reduce toxic pollution, expand access to clean vehicles and create thousands of green jobs.

SACRAMENTO — Governor Gavin Newsom and Attorney General Rob Bonta announced today that a multi-state lawsuit was filed in federal court challenging actions taken by President Trump's Federal Highway Administration (FHWA) to thwart Congress's $5 billion program to expand electric vehicle (EV) charging infrastructure. The Trump administration's unlawful actions would cost Californians more than $300 million, eliminate thousands of good-paying jobs and hobble a critical, emerging tech industry.

On the first day of his administration, President Trump issued an executive order directing federal agencies to immediately stop releasing funds appropriated through the Infrastructure Investment and Jobs Act (IIJA), also known as the Bipartisan Infrastructure Law, including $5 billion that Congress appropriated for electric vehicle charging stations under the National Electric Vehicle Infrastructure (NEVI) Formula Program.

Following that directive, FHWA effectively halted the NEVI Formula Program by, among other things, unlawfully withholding billions in funds that Congress had directed to the states for building EV infrastructure.

When America retreats, China wins.

President Trump's illegal action withholding funds for electric vehicle infrastructure is yet another Trump gift to China – ceding American innovation and killing thousands of jobs.

Instead of hawking Teslas on the White House lawn, President Trump could actually help Elon – and the nation – by following the law and releasing this bipartisan funding.

Governor Gavin Newsom

California, Colorado, and Washington led a coalition of 17 states in suing FHWA. The lawsuit states that FHWA's unlawful actions deprive the states of billions of dollars in appropriated funds, ignores Congressional mandates, violates the U.S. Constitution and will devastate the ability of states to build the charging infrastructure necessary for making EVs accessible to more consumers, combating climate change, reducing other harmful pollution, and supporting the states' green economies.

"The President continues to roll back environmental and climate change protections, this time illegally stripping away billions of dollars for electric vehicle charging infrastructure, all to line the pockets of his Big Oil friends," said Attorney General Bonta. "The facts don't lie: the demand for clean transportation continues to rise, and California will be at the forefront of this transition to a more sustainable, low-emissions future. California will not back down, not from Big Oil, and not from federal overreach."

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California's State Electric Vehicle Infrastructure Deployment Plan anticipated that California would need hundreds of thousands of additional EV charging ports to support passenger cars and trucks and incrementally more charging ports for medium- and heavy-duty trucks and buses to meet climate goals. The plan, approved by the federal government, would leverage public funding and private investment to build out a statewide charging infrastructure, including $384 million from the NEVI program.

The lawsuit requests the court to declare that President Trump's directives are unlawful, vacate the actions and permanently stop the administration from withholding the funds.

A national leader in zero-emission vehicles (ZEV) and infrastructure

California's support for clean cars is unmatched, and the state is home to more than 30% of new ZEVs sold in the U.S. With the rise in EV and plug-in hybrid demand, the state is committed to rapidly deploying funds to develop and ensure a reliable and easy-to-use charging network. The state has doubled down on improving the charging network and making it even easier to buy an EV:
  • More than 178,000 public or shared private electric vehicle charging ports have been installed throughout California, plus more than 700,000 at-home charging ports.
  • Grants and rebates for thousands of dollars are available for low-income Californians to purchase EVs. Learn more at ClimateAction.ca.gov or ElectricForAll.org.

The work doesn't stop with passenger electric vehicles — the state has been hard at work to cut emissions from trucks and buses. Recent efforts include:
  • More than $640 million toward the deployment of zero-emission truck and bus recharging and refueling infrastructure.
  • $500 million to put another 1,000 ZEV school buses on the road.
  • More than $1.3 billion for public transportation projects, including several that support zero-emission buses.

California's strategy for a clean transportation transition

In addition to advancing ZEVs, the Newsom Administration is prioritizing clean fuel production, public transit and rail infrastructure enhancements, and a cleaner, smarter electric grid to help power it all. As California works toward this clean transportation future, the state is also advancing efforts to prevent gasoline price spikes.

Standing up for California communities and businesses

Today's lawsuit follows the Governor's recent announcement that California is challenging President Trump's authority to unilaterally enact tariffs. The Governor also intends to create new strategic trade relationships with international partners aimed at strengthening shared economic resilience and protecting California's manufacturers, workers, farmers, businesses, and supply chains. The Governor has also announced a new international campaign to help maintain the strong tourism partnership between California and Canada.

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