Canada exports most of its oil and natural gas to the United States at discounted prices—approximately $20 less per barrel of oil and $2 less per gigajoule of gas—due to limited pipeline capacity. This infrastructure shortfall forces Canadian producers to accept prices below global market rates, resulting in significant revenue losses. These discounts are an unwitting gift to the U.S. and will cost Canada over $25 billion in 2025 alone.
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