The administration of President Donald Trump on Wednesday ordered the suspension of New York City’s congestion pricing system. This system thins traffic in Manhattan and funds mass transportation by charging high tolls to drivers who enter certain parts.

The city’s new system, launched on Jan. 5, uses license plate readers in order to charge a $9 fee to most cars entering Manhattan neighborhoods to the south of Central Park. Transit officials claim that the toll is having a modest but noticeable impact on traffic in its early stages.

This charge is on top of the fees that drivers pay to enter the island via bridges or tunnels. The toll for drivers who use the tunnel from New Jersey at peak commuter hours is now $31.81, with a discount of $22.06 when they have signed up for E-ZPass.

Sean P. Duffy, U.S. Transportation secretary, announced that the federal government had rescinded approval of the program. He called it a “slap in face” to small business owners and working class Americans. Duffy also said his agency would work with the State to “orderly terminate the tolls.”

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Other cities around the world have had similar tolling systems for years, such as London, Stockholm and Milan. However, the U.S. has never tried the system.

Trump, whose Trump Tower penthouse, as well as other properties, are located within the congestion zones, had promised to stop the plan the moment he assumed office. He had previously described it as a massive and regressive income tax.

Trump stated in November that it would be “virtually impossible” for New York City’s return as long as New York was preparing to implement the plan prior to his taking office.

The tolls are intended to bring in billions of dollars to the city’s cash-strapped and creaky transit system that carries 4 million passengers daily.

Tolling has caused controversy. The tolling system has caused controversy.

Many New Yorkers owning cars are not happy about the high tolls, especially those who live in suburbs and parts of the city that aren’t well served by the subway.

New Jersey Gov. Phil Murphy, a Democrat who had fought tolls, court, and written a letter to Trump on Inauguration day imploring him not to continue the program.

New York Governor Kathy Hochul had similar concerns. She abruptly stopped the planned launch of the tolling system in June last year, citing her concerns over its impact on local economies. In November, after Trump’s victory, the Democrat reinstated the toll but reduced it for vehicles. She has since hailed it as a victory for the city, and discussed the issue with the President multiple times.

The New York legislators approved the tolling plan in 2019. However, it remained stalled during Trump’s initial term while waiting for the required federal environmental review. It was only after Trump left office that Biden’s administration approved it.

The New York congestion charge is also different from other cities. It depends on the time of day and the size or the vehicle. Trucks, large cars and other vehicles pay higher rates. The fee for most cars drops to $2.25 during quieter hours at night.

The toll was launched despite several lawsuits from New Jersey, New York City teachers, trucking industry groups, and elected officials in the Hudson River Valley and Long Island, as well as northern New Jersey.