Evraz North America

These Industry Titans Oppose Trump's Order to Build Pipelines with U.S. Steel

sections of steel pipe for a gas pipeline

The April 7 deadline has come and gone for public comments on President Donald Trump's executive order calling for U.S. pipelines to be made with U.S.-produced steel, and some of the most influential titans of industry have come out against it.

The list of heavy-hitters who have voiced their discontent includes the likes of Dakota Access pipeline-owner Energy Transfer Partners, Russian-owned pipe producers Evraz North America and TMK IPSCO, and pipeline giants Williams Companies and EQT Midstream. It also includes the oil and gas industry at-large through its trade association and lobbying groups, such as the American Petroleum Institute (API), Independent Petroleum Association of America (IPAA), Association of Oil Pipelines, American Fuel & Petrochemical Manufacturers (AFPM), and others such as Magnolia LNG

Noticeably absent from the list is TransCanada, owner of the recently approved Keystone XL pipeline, which the Trump administration has said is exempt from the order. Both Keystone XL and Dakota Access will use steel made by Evraz North America, whose parent company is owned by a close political ally of Russian President Vladimir Putin, as previously reported by DeSmog.

Like Keystone XL, Much of Dakota Access Pipeline Steel Made by Russian Company Tied to Putin

Pipes stamped with 'Made in Canada'

At his February 16 press conference, President Donald Trump discussed his executive orders calling for U.S. federal agencies to grant TransCanada and Energy Transfer Partners the permits needed to build the Keystone XL and Dakota Access pipeline projects.

Trump also cited a different executive order signed that same day, highlighting the “Buy American measures” which he said were “in place to require American steel for American pipelines.” But like Keystone XL, as DeSmog previously reported, much of the steel for the Dakota Access project appears to have been manufactured in Canada by Evraz North America, a subsidiary of the Russian steel giant Evraz.

Evraz is owned in part by Roman Abramovich, a Russian multi-billionaire credited for bringing Russian President Vladimir Putin into office in the late 1990s. DeSmog's finding comes on the heels of Trump's former National Security Adviser Michael Flynn resigning for potentially having discussed U.S. sanctions against Russia with Russian diplomats before Trump took office, apparently without the knowledge of Trump or now-Vice President Mike Pence.

How a Russian Steel Oligarch and Putin Ally Is Profiting from the Keystone XL Pipeline

Pipes for the Keystone XL pipeline sit in piles

Believe it or not, there's a key connection to Russia and its president, Vladimir Putin, in the fight over North America's controversial Keystone XL pipeline.

One of President Donald Trump’s first actions in office was to sign an executive order on January 24 expediting the approval of the Keystone XL. Owned by TransCanada, this tar sands oil pipeline was halted by former President Barack Obama in November 2015. Trump signed another order on January 24, calling for steel for U.S. pipelines to be made in the U.S. to the “maximum extent possible,” and two days later TransCanada filed a new presidential permit application for Keystone XL with the U.S. Department of State.

Critics, such as John Kemp of Reuters, pounced on the caveat language in Trump’s steel order and noted that it appears “designed to preserve lots of wiggle-room.” In fact, a DeSmog investigation reveals that much of the steel for Keystone XL has already been manufactured and is sitting in a field in rural North Dakota.

DeSmog has uncovered that 40 percent of the steel created so far was manufactured in Canada by a subsidiary of Evraz, a company 31-percent owned by Russian oligarch Roman Abramovich, who is a close ally of Putin and a Trump family friend. Evraz has also actively lobbied against provisions which would mandate that Keystone XL's steel be made in the U.S.

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