Premier Ranj Pillai and Minister of Highways and Public Works Nils Clarke. Photo Courtesy of Macklen Linke/CKRW.
Whitehorse, YT – There’s growing uncertainty over U.S. funding for upgrades to the Alaska Highway stemming from one of a flurry of executive orders signed by President Donald Trump on his first day in office.
The Yukon government has earmarked $8 million to rehabilitate a section of highway between Destruction Bay and Beaver Creek, with the U.S. expected to reimburse the cost.
Premier Ranj Pillai acknowledged the funding remains uncertain but said recent discussions with Alaskan officials suggest they recognize the value of the project.
“We are in a position where there has been funding committed but now there could be a risk around that funding,” said Pillai in the legislature. “I’ve reached out to the Governor of Alaska and he’s still very supportive of that funding coming through to the Yukon.”
The uncertainty stems from President Donald Trump’s ‘Unleashing American Energy’ executive order, signed on January 20th, which halts funding from the Infrastructure Investment and Jobs Act.
Section seven pauses disbursements pending a review by the National Economic Council and the Office of Management and Budget, with no set timeline for approvals.
This impacts numerous projects in Alaska, including those under the Shakwak Agreement, which governs U.S.-funded highway maintenance and upgrades in the Yukon.
Kluane MLA Wade Istchenko warned in the Legislative Assembly on March 10th that planned trucking levies in B.C. could also violate the 1977 Shakwak Agreement.
Pillai said B.C. officials are reviewing the agreement.



