Plans to develop America's largest Ferris Wheel are in jeopardy after the attraction's main contractor was removed from the project.

Originally scheduled for early 2017, the development was pushed back to mid- and then late 2017, with the US$580m (€503m, £442m) wheel then delayed till April 2018 thanks to a “complicated engineering process”.

The project is now completely on hold after developer NY Wheel ended its working arrangement with contractor Mammoet-Starneth, citing its “inability” to meet development deadlines.

"NY Wheel is committed to completing The New York Wheel and recognises its enormous importance to the revitalisation of the North Shore of Staten Island,” said Cristyne Nicholas, spokesperson for The New York Wheel in a statement to Attractions Management.

“Due to the inability of Mammoet-Starneth LLC to meet multiple design and construction deadlines, the developer has come to the conclusion that the best path forward for this project is to seek other means to take on the remaining aspects of that 'turnkey' arrangement. The developer is currently exploring all available options for completing the wheel and hopes that Mammoet will cooperate with it to facilitate this transition and ensure the prompt, diligent, and safe completion of wheel.”

Featuring 36 capsules and able to accommodate 30,000 visitors a day, the climate-controlled cabins are slated to include permanent bar cars and a 20-seat dining car.

Work on the development was suspended in May 2017 when the partnership of observation wheel specialists Starneth, and heavy transport and hoisting specialists Mammoet suspended work on the project, saying NY Wheel had failed to make payments.

NY Wheel then filed a civil complaint in the Manhattan federal court, asking Mammoet-Starneth to resume construction. According to the spokesperson, NY Wheel has now withdrawn its request for injunctive relief from the court.

Construction is at an advanced stage, with the wheel’s concrete foundations now in place and its supporting legs already delivered to the site, but NY Wheel must now find a new contractor to complete the job and must raise additional funds to cover costs incurred by delays and to cover any legal fees. Multiple reports suggest that NY Wheel has suffered more than US$16m (€13.8m, £12.2m) in damages from the delay and US$20m (€17.3m, £15.2m) in lost profits and other damages due to the "breach of contract".

If completed, the NY Wheel would be the second largest of its kind in the world.

The world's tallest Ferris Wheel is currently the 548ft (167m) High Roller in Las Vegas, Nevada, but this will soon be overtaken by the Ain Dubai: a 689 ft (210m) attraction on the emirate's Bluewaters Island. That project has been assembled by two of the world’s largest cranes.