Carney Discusses Keystone XL Pipeline Revival with Trump
Canadian Prime Minister Mark Carney recently discussed the potential revival of the Keystone XL pipeline project with U.S. President Donald Trump during a White House meeting. This conversation took place amidst ongoing discussions about energy cooperation between the two nations.
Background on Keystone XL Pipeline
The Keystone XL pipeline, which was initially intended to transport crude oil from western Canada to Steele City, Nebraska, faced significant hurdles since its inception. In 2021, President Joe Biden canceled its border crossing permit, citing environmental concerns related to carbon emissions from oil sands crude. Before this, Trump had previously attempted to revive the project during his presidency after it had stalled under the Obama administration.
Potential Benefits of the Pipeline
The Keystone XL pipeline was designed to carry as much as 830,000 barrels (35 million gallons) of crude oil daily. This pipeline would connect with existing infrastructure in Nebraska, enabling more oil to reach refineries located along the U.S. Gulf Coast. Carney highlighted the importance of such energy initiatives for Canada and stressed that they could be tied to discussions regarding tariffs on Canadian steel and aluminum, which currently face a 50% tariff in the U.S.
Support for Pipeline Revival
- Alberta’s former Premier Jason Kenney expressed support for the pipeline, urging for a new route to increase oil shipments to the U.S.
- Kenney emphasized that this initiative would enhance, not diminish, Canada’s relationship with the U.S. in the export market.
- He proposed leveraging Canadian cooperation as a way to negotiate reductions in U.S. tariffs.
During the discussion, Carney reiterated concerns about the aluminum tariffs. He noted that Canada supplies 60% of the aluminum required by the United States. He argued that reducing dependency on energy for aluminum production could be more beneficial in light of contemporary manufacturing demands.
Future Relations Between Canada and the U.S.
Carney acknowledged the shifting dynamics of Canadian-American relations, stating that the partnership has evolved significantly and would not revert to its previous state. He conveyed a clear understanding of the “America First” approach of the current U.S. administration.
As discussions on Keystone XL progress, the Canadian government expresses a commitment to exploring avenues that would benefit both countries while addressing energy needs and economic concerns.
