Despite Trump promises, Keystone pipeline won't have to use American steel

  • Despite Trump promises, Keystone pipeline won't have to use American steel

Despite Trump promises, Keystone pipeline won't have to use American steel

TransCanada Corp.'s Keystone XL pipeline is being exempted from so-called "Buy American" provisions that would force it to use pipe made exclusively from USA steel, according to media reports.

"The way that the Executive Order is written is actually. specific to new pipelines or those that are being repaired", the spokeswoman said. "Since this one is already now under construction, the steel is already literally sitting there; it would be hard to go back". House Republicans have already shown their hand by opposing provisions to permanently require American steel be used in our country's infrastructure projects.

The Keystone XL oil pipeline will not use American-produced steel for its construction, despite President Donald Trump's insistence that it would. This is in spite of the repeated pledges by President Trump-including at Tuesday's speech before a joint session of Congress-that it will be built with "American steel".

"You're going to be doing pipelines now, you know that?" he said to Longhi. You can send a strong message reaffirming this position by ensuring that the Keystone XL Pipeline uses American steel to the maximum extent possible. "I said, 'Who makes the pipes for the pipeline?' Well, sir, it comes from all over the world, isn't that wonderful?"

In his speech before a joint session of Congress, Trump mentioned the Keystone Pipline in the same sentence as his presidential memorandum on USA steel. TransCanada resubmitted its application in late January.

"If Buy American suddenly becomes injected into that, or border taxes or whatever, we could really disrupt the trade relationships and jobs on both sides of the border". Another 10% will come from a Welspun plant in India, the rest will be imported from Canada and Italy. However, spokesman Terry Cunha pointed out that half the pipe the company purchased in 2012 for Keystone XL was manufactured in the United States, and that 75 per cent originated in North America. In addition, it has already purchased about $800 million worth of other goods from US manufacturers.

But most of those jobs are short-term.