TC Energy has recognized that the United States currently offers the most attractive environment for returns on energy infrastructure projects. The company’s leadership views the American market as more lucrative than the Canadian market, prompting them to expand their operations.
As global energy markets experience rapid growth, major players want to use this opportunity, so they are rethinking their strategies to remain competitive and resilient. Among them, TC Energy is planning for a new path, focusing on the United States and Mexico for future investments while still keeping a close eye on opportunities at home in Canada.
The reason behind this move could be a combination of reasons, from shifting government policies, increasing power demand, and a growing need for reliable infrastructure to support emerging technologies such as artificial intelligence.
TC Energy has recognized that the United States currently offers the most attractive environment for returns on energy infrastructure projects. The company’s leadership views the American market as more lucrative than the Canadian market, prompting them to expand their operations.
The US government, under President Donald Trump, has recently taken steps to boost the country’s energy sector and support the rapid growth of data centers needed for artificial intelligence. Executive orders have loosened regulations and increased energy supplies, ensuring that the infrastructure required for these data-intensive technologies can keep pace with demand. This push for energy dominance fits well with TC Energy’s ambitions, making the US an ideal destination for major capital investments.
TC Energy has announced an ambitious plan to invest $8.5 billion in US energy infrastructure over the next five years. These projects are designed to reinforce the backbone of America’s energy grid, ensuring that electricity and fuel can flow efficiently to where they are needed most. The company’s strategy includes not only upgrading existing assets but also developing new pipelines and facilities to serve rapidly growing regions and industries.
At the same time, TC Energy is eyeing opportunities in Mexico. The company has several projects in the planning stage that would facilitate the movement of natural gas from resource-rich West Texas into the northwestern areas of Mexico. Among these is the potential expansion of the Topolobampo pipeline, which could be connected directly to West Texas, further integrating the North American energy landscape. Such initiatives would help Mexico meet its own rising demand for energy while strengthening economic ties with its northern neighbors.
Despite the strong emphasis on the US and Mexico, TC Energy is not turning its back on Canada. In fact, recent policy shifts in Ottawa suggest a more favorable climate for energy projects. The Canadian government, led by Prime Minister Mark Carney, has accelerated plans for the second phase of the LNG Canada project, a major liquefied natural gas export facility on the country’s west coast. This expansion would require a significant increase in capacity for TC Energy’s Coastal GasLink pipeline, involving the construction of multiple new compressor stations and a multi-billion-dollar investment.
The evolving energy landscape has also prompted Canadian leaders to look beyond traditional partnerships. Alberta Premier Danielle Smith has recently visited Mexico to foster stronger relations with Latin America’s second-largest economy and promote Canadian energy expertise. With new export facilities on the Pacific coast, Canada is now in a position to ship oil and gas directly to Mexico, reducing reliance on US trade routes.
Smith’s visit came shortly after high-level engagements between Canadian officials and Mexican President Claudia Sheinbaum, signaling a commitment from both countries to build a stronger bilateral relationship.
TC Energy’s strategy reflects the complex and rapidly changing realities of the North American energy market. By prioritizing investments in the US and Mexico while staying engaged in Canadian projects, the company positions itself to thrive amid uncertainty.