Budget 2025: Insights from Our Policy Experts

November 4, 2025

On November 4, 2025, the Government of Canada released its 2025 Federal Budget.

Policy experts from the Canadian Chamber of Commerce have reviewed the Budget in detail. Here are their insights on its implications for Canadian business:

Agriculture and Agri-Food

Canada’s agriculture and agri-food industry contributes $150 billion to our GDP annually and is a vital source of economic activity for communities across the country. We are pleased to see adjustments to the AgriStability and Advance Payments programs that will provide financial relief to producers affected by trade disruptions. We are also pleased to see support for opening and creating new markets for Canadian agri-food, including funding for AgriMarketing and process modernization at the Canadian Food Inspection Agency.

Liam MacDonald, Director, Policy and Government Relations

Artificial Intelligence

We welcome Budget 2025’s commitment to unlock investment in AI compute infrastructure and to create AI adoption measurement tools. It’s also encouraging to see the Budget allocate significant new funding for research chairs, which we’re hopeful will go towards attracting more top AI research talent to Canada. As the government tables its new national AI strategy in the coming months, it’s imperative that it work closely with Canada’s business community to ensure it results in efficient AI adoption across all sectors of our economy.

Catherine Fortin LeFaivre, Senior Vice President, International Policy and Global Partnerships

Build Canada Homes

Addressing Canada’s housing affordability challenge is a complex issue that demands substantial and sustained capital commitments. Today’s Budget reiterates many housing measures and initiatives that had already been announced, though fails to address the root cause of the cost of delivery crisis. Bureaucracy and red tape like high development charges, persistent building code changes, complex zoning, and long permitting frameworks continue to hinder the delivery of the housing Canadians need. Real progress will depend on cutting through these systemic barriers and creating a favourable environment where we can build homes quickly and affordably.

Pascal Chan, Vice President, Strategic Policy and Supply Chains

Climate Competitiveness Strategy

Through the Climate Competitiveness Strategy, we’re pleased to see the government take important initial steps toward better aligning Canada’s economic and environmental goals. Canada urgently needs smart, predictable policies that drive economic growth, help businesses reduce emissions, and strengthen our global competitiveness. Several elements of the strategy — including strengthened industrial carbon pricing, enhanced clean economy investment through tax credits, and additional support for critical minerals projects — can help advance this objective. We’re particularly encouraged by the government’s commitment to propose legislative amendments that would remove certain aspects of the Greenwashing provisions to provide greater marketplace certainty, as well as its plan to move toward a framework under which the oil and gas emissions cap would no longer be required.

Bryan Detchou, Senior Director, Natural Resources, Environment and Sustainability

Critical Minerals

We’re encouraged by the government’s continued commitment to Canada’s critical minerals sector through the newly announced Critical Minerals Sovereign Fund, the First and Last Mile Fund, the expanded eligibility for the Critical Mineral Exploration Tax Credit (CMETC), and investments outlined in the Defence Industrial Strategy. These measures build on last week’s announcements at the G7 Energy and Environment Ministers’ Meeting in Toronto and collectively represent a strategic step forward in strengthening Canada’s leadership in sustainable resource development, enhancing supply chain resilience, and bolstering global competitiveness.

Bryan Detchou, Senior Director, Natural Resources, Environment and Sustainability

Digital Economy

The budget recognized that the digital economy is a cornerstone of Canada’s competitiveness and future prosperity. Initial investments in cybersecurity, AI, and digital infrastructure are important building blocks for innovation, defence and economic resilience. Continued collaboration with business will be essential in ensuring these initiatives translate into scalable technologies, stronger data governance, and widespread adoption across all sectors of the economy.

Alex Greco, Senior Director, Manufacturing and Value Chains

High-Speed Rail

We are encouraged by the government’s plan to introduce legislation that would accelerate the development of the Alto high-speed rail project, which will provide a critical link between Quebec City and Toronto, as well as cities in between.

Pascal Chan, Vice President, Strategic Policy and Supply Chains

Housing-Enabling Infrastructure

The government’s focus on supporting the delivery of housing-enabling infrastructure through the $51 billion Build Communities Strong Fund is welcome. Investment in infrastructure is a prerequisite for unlocking the new construction. However, infrastructure money will not catalyze significant progress toward Ottawa’s plan to build 500,000 homes a year if many other industry challenges remain unresolved.

Pascal Chan, Vice President, Strategic Policy and Supply Chains

International Trade

For Canada to realize its trade diversification potential, it’s imperative that all sectors and players in the Canadian economy build and maintain meaningful relationships with global business counterparts. The Canadian Chamber of Commerce, through its international mission program, is already seeing the impacts of these strategic international engagements, enabling face-face global opportunities for its members. We’re encouraged to see Budget 2025 continue to invest in the CanExport program, provide new funding for Canadian Chambers across Europe, and offer opportunities for SMEs to build up their trade know-how. Supporting Canada’s ground game abroad will be essential to the success of many of this Budget’s trade investments. The Canadian Chamber stands ready to activate its network and play its part in growing Canada’s international trade muscle.

Catherine Fortin LeFaivre, Senior Vice President, International Policy and Global Partnerships

Life Sciences

There can be no national or economic security without health security. We are pleased to see the federal budget include measures such as the Venture Capital Growth Catalyst Initiative and funding for Innovation, Science and Economic Development Canada to develop dual-use technologies in a range of sectors, including the life sciences. These measures will support the development of our domestic life sciences industry, which underpins our national health security.

Liam MacDonald, Director, Policy and Government Relations

Manufacturing

Budget 2025 sends the right signal by focusing on productivity, innovation, and investment — the pillars of a stronger manufacturing economy. What matters most now is execution: turning ambition into action through a modern tax system, faster project approvals, and a predictable regulatory environment. Canadian businesses are ready to work with government to turn these commitments into growth, good jobs, and a more competitive Canada.

Alex Greco, Senior Director, Manufacturing and Value Chains

Scientific Research and Experimental Development (SR&ED)

The government’s proposed SR&ED reforms are a welcome and necessary step toward modernizing Canada’s innovation framework. To help companies drive research, development, and commercialization, implementation must enhance clarity, predictability, and administrative simplicity — while strengthening incentives for businesses to invest in productivity-enhancing innovation. The next step is ensuring these changes are delivered in full collaboration with industry so that SR&ED truly supports growth and competitiveness.

Alex Greco, Senior Director, Manufacturing and Value Chains

Trade-Enabling Infrastructure

We are pleased to see the government’s creation of the Trade Diversification Corridors Fund and the Arctic Infrastructure Fund in the 2025 Budget. These investments are a step in the right direction toward diversifying trade and expanding capacity. While promising, it must be followed by concrete action on reducing regulatory red tape for all infrastructure projects, not just those designated by the Major Projects Office.

Pascal Chan, Vice President, Strategic Policy and Supply Chains

Trade Capacity

New trade capacity-enhancing measures outlined in Budget 2025 – including the Trade Diversification Corridors Fund, the Arctic Infrastructure Fund, the Strategic Exports Office, and new trade financing measures – move us in the right direction of meeting the government’s commitment to doubling Canada’s non-U.S. exports by 2035. However, closing the capacity gap to meet the 2035 target will require rapid implementation, ongoing coordination with businesses, and must not be encumbered by unnecessary red tape or lengthy approval processes.

Gaphel Kongsta, Director, International Policy

Workforce Development Priorities

The importance of supporting and investing in the Canadian workforce is critical to our economy. Measures and investments announced in the Budget are a step in the right direction, particularly around supports for workers impacted by U.S. tariffs, expansion of apprenticeship training in the skilled trades, focus on an international talent strategy to drive innovation, and action on foreign credential recognition. We reiterate the need to expand access to skilled trades investments and not limit eligibility to training exclusively provided by unions. We also urge the government to continue working in close collaboration with the provinces and territories to truly accelerate the foreign credential recognition of the thousands of workers prevented from contributing meaningfully to the economy and alleviating labour shortages in critical sectors like healthcare and construction

Diana Palmerin-Velasco, Senior Director, Future of Work

About the Canadian Chamber of Commerce — The Future of Business Success

The Canadian Chamber of Commerce is Canada’s largest and most activated business network — representing over 400 chambers of commerce and boards of trade and more than 200,000 business of all sizes, from all sectors of the economy and from every part of the country — working to create the conditions for our collective success. The Canadian Chamber of Commerce is the undisputed champion and catalyst for the future of business success. From working with government on economy-friendly policy to providing services that inform commerce and enable trade, we give each of our members more of what they need to succeed: insight into markets, competitors and trends, influence over the decisions and policies that drive business success, and impact on business and economic performance.

Media Contact

Shane Mackenzie
Vice President, Media and Stakeholder Communications
613.302.7683
smackenzie@chamber.ca

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