The Alaska Department of Transportation & Public Facilities (DOT&PF) has announced a $7.2 million federal investment to advance critical upgrades along the Alaska Highway in Canada’s Yukon Territory, part of the long-standing Shakwak Project. The funding, transferred through the Federal Highway Administration (FHWA), reinforces the highway’s role as a vital year-round link between Alaska and the Lower 48.

The strategic improvements will target a 28-kilometer stretch of the highway—from kilometer 1762 to kilometer 1790—supporting safer, more reliable travel and freight movement through one of North America’s most remote regions.
Planned work includes road embankment repairs, surface and slope restoration, culvert replacements, ditch reshaping, and aggregate stockpiling.
“The Shakwak Project is a long-standing and essential partnership between Alaska, the United States, and Canada,” said DOT&PF Commissioner Ryan Anderson. “It reflects our shared commitment to keeping this international corridor open, well-maintained, and strategically capable—not just for Alaskans, but for the broader region and both nations.”
The funding, listed under STIP 2023–2027 project IDs 34728 and 24760, was officially allocated on May 1. The DOT&PF has already coordinated with FHWA and the Government of Yukon to make bidding opportunities available to Alaska contractors through the Associated General Contractors (AGC) network.
This phase of the Shakwak Project is part of a multi-year effort to modernize and maintain the Alaska Highway, which was originally built during World War II as a military supply route.
Today, it remains a strategic transportation asset, supporting national defense, emergency response, commercial freight, and regional tourism.
Looking ahead, the DOT&PF has also secured a federal RAISE grant to support additional improvements in the corridor. While details of the grant agreement are still being finalized, officials say that planning with federal partners is underway to ensure continued investment.