U.S. President Donald Trump has asserted that a controversial oil pipeline endeavor is being rekindled while Canada and the United States are in the midst of negotiations to prevent additional U.S. tariffs on Canadian products. Trump conveyed on his Truth Social platform late on Tuesday that the “The great Keystone XL Pipeline, long ago terminated by Sleepy Joe Biden, may be resurrected!” Alongside this statement, an AI-generated image shared by the U.S. president depicts him lifting a substantial pipeline labeled “KEYSTONE” from a grave, with two American flags fluttering in the backdrop and a headstone inscribed with “Buried by Biden.”
Canada has not issued a public response to Trump’s assertion regarding the project’s revival within the ongoing trade discussions. On Tuesday, Washington announced a temporary halt to planned 50 percent tariffs on various Canadian goods for three days to facilitate further negotiations.
The history of the Keystone XL expansion project spans several significant milestones. Initially proposed in July 2008 during Stephen Harper’s premiership and the concluding term of U.S. President George W. Bush, the project was put forward by TransCanada, now TC Energy, and ConocoPhillips, co-owners of the Keystone pipeline, to introduce a substantial extension to the network for transporting oilsands bitumen from Alberta to Texas.
In November 2011, the U.S. State Department directed TransCanada to alter the Keystone XL route to avoid an ecologically sensitive area in Nebraska. Subsequently, in January 2012, U.S. President Barack Obama rejected the project, citing insufficient time for a comprehensive review due to a legislative timeline. However, TransCanada submitted a new route for approval in Nebraska in April-May 2012, leading to continued developments in the project’s trajectory.
On January 20, 2021, President Joe Biden signed an executive order revoking the permit for the Keystone XL project issued by his predecessor, Donald Trump, deeming it contrary to U.S. national interests. This decision was met with disappointment by Canadian Prime Minister Justin Trudeau. Following subsequent events, including TC Energy’s termination of the project in June 2021 and legal actions pertaining to damages caused by the project’s cancellation, the Keystone XL saga continues to unfold.
Fast forward to February 2025, Trump, now in his second term, reiterated his support for the Keystone XL project, emphasizing the importance of its completion. By April 30, 2026, Trump authorized a proposed initiative for transporting Canadian oil across the border, signaling a partial revival of the Keystone XL project. This move aligns with Trump’s commitment to advancing the project, despite South Bow’s shift away from the Keystone XL endeavor.
Looking ahead, the future of the Keystone XL project remains uncertain, with various stakeholders navigating legal challenges, environmental considerations, and geopolitical dynamics in the pursuit of advancing this contentious pipeline initiative.