The announcement follows President Trump’s December 6 decision to move the US embassy in Israel from Tel Aviv to Jerusalem.
Israeli Minister of Transportation Yisrael Katz said: “I decided to call the new train station which will be established in the Jewish Quarter near the Western Wall and the Temple Mount in the name of President Donald Trump, because of his historical and brave decision to recognise Jerusalem, the eternal capital of the Jewish people, as the capital of the state of Israel and his intention to move the American Embassy to Jerusalem.”
The station will be built inside the walls of the Old City.
Once built, trains will be able to drop passengers off close to the Western Wall, the holiest site at which Jews can pray.
Mr Katz’s announcement comes after an overwhelming majority of United Nations member states opposed the United States regarding the disputed status of Jerusalem last Thursday.
In what was seen as a massive blow to the US, a total of 128 of the 193-member UN General Assembly agreed to resolve the Holy City dispute through “negotiations in line with relevant UN resolutions”.
The official UN position is that East Jerusalem is part of the occupied Palestinian territory – a sore point of contention for Israel. In 2008 the UN called for a dual-capital solution.
US ambassador to the UN Nikki Haley said that the vote “disrespected” America and President Trump threatened to cut-off billions of aid money to those nations who opposed him.
Ms Haley later announced that the US will go ahead with moving its embassy to the disputed city regardless of the vote.
She said: “That is what the American people want us to do and it is the right thing to do.
“This vote will make a difference in how Americans look at the UN.
Adding that the US will “remember this day” when it was “singled out for attack”.
The UK, France, China and Germany were among those who voted in favour of the non-binding motion. Only nine voted against and 35 abstained.