U.S. President Donald Trump has announced the potential revival of the controversial Keystone XL Pipeline project amid ongoing trade discussions between Canada and the United States to prevent additional U.S. tariffs on Canadian products. Trump made the declaration on the Truth Social platform, stating that the previously halted Keystone XL Pipeline could be resurrected.
In a symbolic gesture, Trump shared an AI-generated image depicting him lifting a large pipeline labeled “KEYSTONE” from a grave, accompanied by American flags and a headstone reading “Buried by Biden.” While the U.S. administration temporarily paused planned 50% tariffs on various Canadian goods for three days to facilitate further negotiations, Canada has not publicly addressed Trump’s assertion regarding the project’s revival within the trade talks.
The history of the Keystone XL expansion dates back to its initial proposal in July 2008 during the tenure of former Canadian Prime Minister Stephen Harper and outgoing U.S. President George W. Bush. The project faced opposition over the years, leading to various legal challenges and environmental concerns. Despite multiple setbacks and changes in leadership, including President Barack Obama’s rejection of the pipeline in January 2012 and President Joe Biden’s revocation of the project permit in January 2021, discussions around the pipeline’s future have persisted.
In a recent development, Trump signed an order in April 2026 authorizing a proposed project to transport Canadian oil across the border, potentially breathing new life into parts of the Keystone XL pipeline. The project, named Prairie Connector, is under consideration by South Bow and U.S. company Bridger Pipeline. South Bow has indicated that a decision on proceeding with the project will be made by mid-2027.
Additionally, South Bow reached a settlement with the U.S. government in July 2026 over an oil spill incident in Kansas, agreeing to pay civil penalties and fund prevention and restoration efforts. Trump’s recent actions to delay impending tariffs on Canadian goods by three days coincide with his expressed interest in reviving the Keystone XL project, signaling a potential shift in the project’s trajectory.