New York City has been named the world’s most congested urban area for the second consecutive year, with traffic gridlock costing the city an estimated $9.1 billion in lost time, according to a new report. The 2023 Global Traffic Scorecard, compiled by INRIX Inc., a traffic-data analysis firm, revealed that motorists in New York lost an average of 101 hours to traffic during peak commuting times last year, the highest among nearly 1,000 cities worldwide.
This congestion crisis highlights the growing challenges urban centers face as they balance economic recovery and infrastructure needs. New York’s traffic woes were followed closely by other major cities: Mexico City ranked second, with London, Paris, and Chicago rounding out the top five. Los Angeles and Boston were other U.S. cities that made it into the global top 10.
Economic costs of traffic congestion
Bob Pishue, a transportation analyst at INRIX, explained the complex relationship between traffic congestion and economic activity. “Traffic congestion is both a bane and a barometer of economic health; it symbolizes bustling activity yet simultaneously hampers it,” Pishue said in a statement. He pointed out that the surge in traffic congestion in urban areas is a sign of post-COVID economic recovery, but it also underscores a significant economic loss in terms of wasted time and resources.
The INRIX report estimated that traffic congestion in the U.S. cost over $70.4 billion in 2023, a 15% increase from the previous year. On average, U.S. drivers lost 42 hours to traffic gridlock last year. The economic impact of this lost time is enormous, contributing to higher fuel consumption, stress for commuters, and reduced productivity.
Congestion pricing and its delay
New York City’s top spot on the congestion list comes despite efforts to tackle the issue. Governor Kathy Hochul recently paused a controversial congestion pricing plan that aimed to reduce traffic and raise funds to update the city’s aging transit infrastructure. The initiative, which would have been the first of its kind in the U.S., proposed charging motorists driving into Manhattan’s central business district—a zone stretching from 60th Street to the southern tip of the island.
This congestion pricing plan has faced resistance from various quarters, including political opposition and concerns from residents and businesses. Without the tolling initiative, trips into downtown Manhattan increased by 13% last year, worsening traffic in an area that was already struggling with heavy gridlock. According to the report, vehicles in downtown Manhattan averaged a speed of just 11 miles per hour during peak morning periods in early 2024, an 11% drop from the same period in 2023.
Changing commuting patterns post-pandemic
The pandemic has had a lasting impact on commuting patterns, leading to shifts in peak travel times. The rise of hybrid work and flexible schedules has changed how and when people travel, altering traditional rush hours. According to INRIX’s findings, the number of trips taken in the middle of the day increased by 23%, while morning commutes decreased by 12% and afternoon traffic fell by 9%.
Pishue noted these shifting patterns: “Although congestion is returning to pre-COVID levels, we’re seeing interesting changes in congestion patterns due to the lingering effects of the pandemic. The continuation of hybrid and remote work is creating new travel peaks from what we’ve seen previously.”
This shift has complicated efforts to address congestion as cities grapple with unpredictable traffic flows. While some routes are seeing reduced pressure during traditional rush hours, other times of the day have become new hot spots for congestion, increasing the challenge of effective traffic management.
The worst traffic corridor in the U.S.
Though New York tops the list for overall congestion, the busiest traffic corridor in the U.S. in 2023 was found in Orlando, Florida. The stretch of Interstate 4 between Beachline Expressway and the Western Beltway jumped from 10th place in 2022 to become the most congested route last year. Drivers lost a staggering 124 hours when traveling this corridor at peak times, especially at 5 p.m.
More Read
This highlights that while New York may bear the brunt of media attention for its traffic gridlock, many other parts of the U.S. face severe traffic challenges as well. Traffic congestion, especially in growing metropolitan areas, continues to be a significant issue for cities looking to balance infrastructure, growth, and sustainability.
The road ahead
As cities like New York face growing congestion, solutions remain complex. Congestion pricing, public transportation improvements, and traffic management technologies offer potential remedies, but implementing these measures has proven difficult due to political, economic, and social challenges.
Despite the substantial financial costs, traffic congestion remains a persistent problem. As urban populations continue to grow and more people return to the roads following the pandemic, cities will need to explore innovative ways to alleviate traffic and improve the quality of life for their residents. For New York, solving its $9 billion congestion problem will likely require a combination of policy initiatives, infrastructure investments, and a continued focus on the evolving commuting patterns of the post-pandemic world.
