Energy & The Environment
The United States-Canada energy relationship is robust, secure, and mutually beneficial. As each other’s #1 energy partner, we fuel the North American economy, driving key industries like artificial intelligence, automotive, and semiconductors. Our reliable and affordable energy not only powers American businesses but also helps reduce energy costs for American families.
Energy from Canada – more than from any other country – plays a crucial role in the United States’ energy dominance and security. Canada is the largest supplier of energy to the U.S. In 2024, Canada provided approximately 62% of the U.S.’ crude oil imports, 85% of its electricity imports, 99% of its natural gas imports, and about a quarter of its uranium imports, that end up fueling reactors that supply electricity to about 1 in 21 American homes (U.S. Census Bureau and U.S. EIA). Carried by over 70 oil and gas pipelines and over 35 transmission lines across our shared border, our secure, reliable and affordable energy powers millions of homes and businesses across the U.S. and supports hundreds of thousands of jobs on both sides of the border. Canada is also a global leader in mining, processing innovation and expertise, and a secure source of critical minerals. Our resilient energy supply chains, including oil, gas, electricity, and critical minerals make North America more energy independent and less reliant on foreign adversaries.
Canada is also investing in new technologies and infrastructure with the U.S. to be a global leader in energy innovation. Thanks to a partnership between American and Canadian companies, the first BWRX-300 small modular reactor in North America will be deployed in Canada by 2028.
Canada’s electricity grid – mainly from hydropower and nuclear energy – quickly and reliably dispatches power to fuel the growth of American artificial intelligence and the manufacturing sector. Our integrated grid flows electricity in both directions depending on needs. The grid supplies affordable power to nearly six million homes in the Pacific Northwest, Minnesota, Michigan, New York and New England. Canadian hydroelectric dams also offer natural storage capacity for U.S. electricity and guarantee a safe backstop during extreme weather events.
Canada and the U.S. have a long history of working together to protect our air, water and wildlife. In 1991, Canada and the U.S. established the Air Quality Agreement (AQA) to address transboundary air pollution that was causing acid rain. A decade later, the Agreement was updated to include ground-level ozone to reduce smog. Since the AQA was signed, sulphur dioxide and nitrogen dioxide emissions that pollute the air we breathe have been dramatically reduced in both Canada and the U.S., leading to healthier communities on both sides of the border.
Canada and the U.S. also work together to protect our shared waters. Our partnership on transboundary water began more than a century ago when we signed the Boundary Waters Treaty in 1909, and further committed to working together to restore the Great Lakes under the 1972 Canada-U.S. Great Lakes Water Quality Agreement. Supplying drinking water to over 40 million Canadians and Americans, and powering an economy via transportation, hydropower, and manufacturing, Canada and the U.S. have committed the necessary resources to clean up over 90% of our legacy polluted areas in the Great Lakes by 2030.
We also work with the U.S. to ensure that the wildlife that ranges across our shared border is managed sustainably and in cooperation with Indigenous peoples. Canada and the U.S. have worked together for over a century through the 1916 Migratory Bird Convention to conserve and protect shared species. Working with partners via the North American Wetlands Conservation Council, Canada and the U.S. have restored waterfowl and other populations for recreation and enjoyment. These restoration efforts fuel the hunting and bird watching industries in the U.S. that are worth $38 billion annually to the U.S. economy.
