The tunnel is being launched at a ceremony Monday in northern New Jersey. It will be burrowed under the Hudson River and will speed the commute from New Jersey to New York City.
Federal Transit Administration chief Peter Rogoff says the rail tunnel is the largest ever funded by his agency.
The Obama administration will provide US$3 billion towards the US$8.7-billion project.
The tunnel will double commuter rail traffic from New Jersey and allow an increase in direct routes by eliminating a chokepoint.
- AP