U.S. President Donald Trump has announced the potential revival of a controversial oil pipeline project as negotiations between Canada and the United States progress to prevent additional U.S. tariffs on Canadian goods. Trump stated on his Truth Social platform that the Keystone XL Pipeline, previously halted by President Biden, might be resurrected. He shared an image depicting him lifting a pipeline labeled “KEYSTONE” from a grave, accompanied by American flags and a headstone reading “Buried by Biden.”
While Canada has not publicly addressed Trump’s assertion regarding the project’s revival within ongoing trade discussions, Washington announced a temporary halt on planned 50% tariffs on various Canadian goods for three days to facilitate further negotiations.
The history of the Keystone XL expansion dates back to its initial proposal in July 2008, during the tenure of Prime Minister Stephen Harper and U.S. President George W. Bush. TransCanada, now known as TC Energy, introduced the Keystone XL extension to transport oilsands bitumen from Alberta to Texas.
Following a series of developments and growing opposition, the project faced setbacks, including rerouting demands and legal challenges. Despite subsequent approval and rejection under different administrations, the project ultimately faced cancellation under President Biden in 2021.
In February 2025, Trump, in his second term as president, urged the company behind Keystone XL to expedite construction efforts, even though the project had been officially terminated. Recent discussions between Prime Minister Mark Carney and Trump in October 2025 indicated renewed interest from Canada in the pipeline.
Most recently, in April 2026, Trump authorized a proposed project for Canadian oil transportation across the border, aiming to revive aspects of the Keystone XL pipeline. South Bow, in collaboration with Bridger Pipeline, is involved in this initiative. The decision to delay new U.S. tariffs on Canadian goods by three days coincided with Trump’s announcement about the potential revival of the Keystone XL project. Carney’s statement on the tariff postponement did not make any reference to Keystone XL.