U.S. President Donald Trump has announced plans to revive the Keystone XL Pipeline, reversing the Biden administration’s efforts to cancel it. The project, which would transport oil from Alberta’s oil sands to Texas at an estimated cost of $8 billion, has faced fierce opposition from environmentalists and Native American groups for over a decade. However, the biggest obstacle has been shifting political winds.
As of January 2025, Trump has promised “easy approvals” to restart construction on the project, emphasizing the urgency of securing energy resources. The U.S. imports nearly 4 million barrels of crude oil per day from Canada – 10 times more than from Mexico, the second largest supplier. Once operational, Keystone XL could move 830,000 barrels per day, reinforcing Canada’s role as the U.S.’s primary oil supplier. Washington argues that the project will boost energy security and create jobs across the Midwest.
However, Trump’s threatened 25 percent tariffs on imports could complicate logistics, while his suggestion that Canada could become the 51st state only adds diplomatic friction. The project also faces practical hurdles: expired permits, dismantled sections and the absence of a committed developer. Washington’s push to restart work on Keystone XL will reignite the battles that have stalled the project for years.
America in Transition &