Canada has initiated a pipeline construction project that will enable the export of up to 1 million barrels of crude oil to Asian markets daily. According to the Financial Times (FT), Prime Minister Mark Carney aims to transform Canada into an 'energy superpower' and reduce dependence on the US market.
Carney stated that the Alberta authorities have presented a plan for a pipeline over 1000 km long. It will reach the western coast of British Columbia, with construction expected to be completed by September 2027.
The Prime Minister also announced that Canada plans to triple its liquefied natural gas (LNG) production over the next decade through the construction of five new terminals. Additionally, the government will invest 10 billion Canadian dollars (approximately 7 billion US dollars) in modernizing the port of Vancouver.
Alberta Premier Danielle Smith has stated that the goal is to double oil production by 2035 and complete the construction of the new pipeline, ensuring significant additional revenues in the coming decades.
According to FT, the project is a key component of Mark Carney's strategy to reduce Canada's economic dependence on the US. Currently, Canada exports about three-quarters of its goods and services to the US, with nearly all of its oil directed to the American market, accounting for about 60% of US oil imports or around 4 million barrels daily.
Carney's statements came after US President Donald Trump threatened to impose tariffs of up to 100% on Canada and reiterated that Canada should become the 51st state of the US.
In January, Canada and China agreed to gradually reduce mutual tariffs and expand economic cooperation amid escalating trade tensions with the US.
