Canada’s oil and gas industry should avoid overreacting to U.S. President Donald Trump’s comments about Venezuela and instead focus on long-term competitiveness, according to an energy policy expert.
Heather Exner-Pirot, director of energy, natural resources and environment at the Macdonald-Laurier Institute, said Trump’s claim that the United States could “run” oil-rich Venezuela represents a medium-term risk for Canada, but not an immediate threat.
She said Canada has always operated in a highly competitive global energy market alongside other oil-producing nations, and political rhetoric from Washington should not trigger panic within the sector.
Exner-Pirot pointed to comments by U.S. Secretary of State Marco Rubio, who appeared to walk back Trump’s remarks on Sunday. Rubio suggested the United States would not assume a day-to-day governing role in Venezuela, beyond enforcing an existing “oil quarantine” on the country.
That clarification, she said, indicates Trump’s statements should be viewed as threats rather than imminent policy. Exner-Pirot added that the U.S. president must first navigate the significant political and diplomatic fallout his actions have generated before the United States could realistically benefit from Venezuelan oil production.
Over the longer term, she said Venezuela could reorient its oil markets in favour of the United States, potentially reshaping global supply dynamics.
Even so, Exner-Pirot said Canada is moving in the right direction. Prime Minister Mark Carney and Alberta Premier Danielle Smith have recently emphasized expanding access to new export markets, diversifying the energy sector and strengthening Canada’s competitive position.
Those efforts, she said, will be key to ensuring Canada’s oil and gas industry remains resilient amid shifting geopolitical and economic conditions.