Stephen Gardner, the CEO of Amtrak, has announced his resignation amid growing political pressure from former President Donald Trump and tech billionaire Elon Musk, both of whom have voiced support for privatizing the national rail service. Gardner, who has led Amtrak since 2022, made the decision to step down to ensure that the company retains the “full faith and confidence” of the Trump administration.
His departure marks a significant moment for Amtrak, which is facing renewed scrutiny from a White House that has long been skeptical of the publicly funded railway. As calls for privatization grow louder, questions arise about the future of Amtrak and whether private companies could genuinely improve upon its operations.
Gardner’s resignation comes after a long tenure at Amtrak, where he played a crucial role in modernizing the company and expanding service routes. He originally joined Amtrak in 2009 as chief operating and commercial officer, later becoming president in 2020 before taking over as CEO two years later.
Beyond his corporate experience, Gardner is known for his deep passion for rail transportation. He worked as a conductor and operations manager for the Maine Central Railroad, and even named his former punk band Chessie after the historic Chesapeake and Ohio Railway.
Despite his extensive background in rail, Gardner found himself increasingly at odds with the Trump administration’s vision for Amtrak. His decision to step down is widely seen as an effort to shield the company from political retaliation, ensuring that it can continue receiving federal funding without becoming a direct target of partisan conflict.
Trump’s Longstanding Opposition to Amtrak
Trump’s hostility toward Amtrak is nothing new. During his first term in office, he attempted to slash federal funding for Amtrak by half, arguing that the railway was inefficient and should be run more like a private business. While those cuts were ultimately avoided, his skepticism toward public transportation has remained steadfast.
Since returning to the White House, Trump has frozen billions of dollars in federal support for Amtrak, placing its expansion plans in jeopardy. His administration has also placed additional demands on the company, with Department of Transportation Secretary Sean Duffy pressuring Amtrak to:
- End diversity, equity, and inclusion (DEI) programs
- Implement return-to-office mandates for employees
- Reduce dependency on federal subsidies
These measures have put Amtrak leadership in a difficult position, forcing them to comply with political directives while trying to maintain operations and ridership growth.
Elon Musk Joins the Privatization Push
Elon Musk has now entered the conversation, advocating for Amtrak’s privatization alongside the United States Postal Service. At a recent event, Musk called Amtrak “kind of embarrassing” and warned international travelers not to use America’s national rail system, claiming it could leave them with a “bad impression” of the country.
Musk’s comments reflect a broader sentiment among some conservatives and business leaders that Amtrak would be more efficient under private ownership. The idea is that eliminating government control could lead to faster innovation, reduced operational costs, and better service for passengers.
However, critics argue that privatization would likely result in higher ticket prices, reduced service to rural areas, and a focus on profit over accessibility. Amtrak currently serves over 500 destinations across 46 states, many of which are not considered profitable but are essential for regional connectivity. A private company might cut these routes in favor of more lucrative corridors, leaving large parts of the country without rail access.
Amtrak’s Record Ridership and Expansion Plans
Ironically, Gardner’s departure comes at a time when Amtrak is experiencing a record-breaking year for ridership. Thanks to new routes and improved service, the company is steadily growing, with plans to expand rail service to an additional 40 million passengers in the coming years.
Key highlights of Amtrak’s success include:
- Increased investment in modernizing rail infrastructure
- Expansion into underserved regions
- Improved high-speed rail projects in key corridors
While Amtrak’s ridership boom signals a growing public demand for train travel, its future now depends on whether the federal government continues to support these investments or moves toward privatization.
Musk’s suggestion that privatizing Amtrak would improve rail service deserves scrutiny—especially given his own underwhelming record in transportation projects. His company, The Boring Company, has spent over seven years constructing just 2.4 miles of a planned 68-mile tunnel system in Las Vegas. Despite grand promises, the project has moved at a snail’s pace, with little oversight or substantial progress.
Beyond that, Musk has frequently announced ambitious transit projects only to delay, scale back, or outright abandon them due to cost concerns and logistical challenges.
A few of his high-profile failures include:
- The Hyperloop, a futuristic vacuum-tube transit system that was heavily promoted but never materialized beyond a few small test tracks.
- Chicago’s high-speed airport tunnel, which was scrapped after facing feasibility issues.
- East Coast hyperloop projects, which were announced with great fanfare but never saw real-world progress.
If Musk’s private sector transportation efforts are any indication, privatizing Amtrak might not lead to the improvements he claims. Instead, it could result in a fragmented, underfunded system that prioritizes profit over accessibility.
The Future of Amtrak: Public vs. Private Debate Continues
With Stephen Gardner stepping down and the Trump administration pushing for major changes, Amtrak stands at a crossroads. The debate over public vs. private rail ownership is not new, but it has gained fresh urgency under the current administration.
Arguments for Keeping Amtrak Public
- Ensures affordable and accessible train travel across the U.S.
- Protects unprofitable but necessary routes in rural areas.
- Allows for government investment in infrastructure without immediate profit concerns.
- Provides consistent funding for modernization and expansion.
Arguments for Privatization
- Could introduce greater efficiency and innovation.
- Might reduce dependence on federal subsidies.
- Potentially increases competition and service quality.
The coming months will determine whether Amtrak remains a publicly funded national railway or moves toward privatization under Trump’s leadership. With record ridership and expansion plans already in motion, the stakes are high for the future of passenger rail in the United States.
Stephen Gardner’s resignation signals a turning point for Amtrak as political and business leaders renew efforts to privatize the railway. While critics argue that privatization could jeopardize service accessibility and affordability, proponents claim it could bring much-needed efficiency and innovation.
With Trump freezing federal funding and Musk advocating for private ownership, the future of America’s national rail system hangs in the balance. Whether Amtrak remains a public entity or shifts toward privatization, the impact will be felt by millions of passengers who rely on the service every year.