Blakes Competitive Edge™: January 2026 Update

Welcome to the January issue of Blakes Competitive Edge, a monthly publication of the Blakes Competition, Antitrust & Foreign Investment group. Blakes Competitive Edge provides an overview of recent developments in Canadian competition and foreign investment law, including updates on enforcement activity by the Canadian Competition Bureau (Bureau), recent initiatives and key trends.

Key Highlights

• A recap of 2025 shows that merger review activity was relatively consistent throughout the year, with a total of 225 merger reviews completed. This activity is comparable to 2024 (226) and an increase from 2023 (195). Merger reviews in 2025 averaged 42 calendar days in length.
• The Bureau launches a market study of the financing sector for small and medium-sized enterprises.
• The Competition Tribunal (Tribunal) provides first guidance on the new “public interest” standing test for private applications.
• Canada signals openness to increased Chinese investment, including in the energy sector.

Competition Act

Merger Monitor

December 1 – December 31, 2025 Highlights

• 24 merger reviews announced; 21 merger reviews completed, with reviews taking 57 calendar days on average
• Primary industries of completed reviews: manufacturing (33%); finance and insurance (19%); real estate and rental and leasing (19%); mining, quarrying, and oil and gas extraction (10%)
• 7 transactions received an Advanced Ruling Certificate (33%); 12 transactions received a No Action Letter (57%); two transactions were resolved through other means

Annual 2025 Highlights

• 235 merger reviews announced; 225 merger reviews completed, with reviews taking 42 calendar days on average
• Primary industries of completed reviews: real estate and rental and leasing (17%); manufacturing (17%); finance and insurance (14%); mining, quarrying, and oil and gas extraction (13%)
• 127 transactions received a No Action Letter (56%); 86 transactions received an Advanced Ruling Certificate (38%); 9 transactions were resolved through other means; two transactions were resolved via consent agreement; and one transaction was abandoned by the merging parties

Merger Reviews Completed Year to Date Through December 31, 2025 by Primary Industry

Non-Enforcement Activity

Bureau Launches Market Study of Financing Sector for Small and Medium-Sized Enterprises

• On January 12, 2026, the Bureau launched its market study of competition in the financing sector for small and medium-sized enterprises (SMEs) in Canada, following a public consultation to determine the study’s scope and the Minister of Industry’s approval of the study’s final terms of reference. The study will focus on (1) competitive dynamics in the SME financing sector, (2) barriers to entry or expansion in providing financing to SMEs, and (3) barriers to switching lenders. The Bureau expects to publish its findings and recommendations in a final report in Fall 2026. The Bureau is seeking submissions from individuals and businesses with experience in the sector until February 27, 2026.

Bureau Releases Findings of its Study on Data Portability

• On January 15, 2026, the Bureau released a report on data portability, which is the right for consumers to transfer their personal information between service providers. The report recognizes the significant challenges of data portability regimes, including increased risk of data breaches and privacy considerations. The report encourages the adoption of data portability in Canada and identifies key factors for a data portability framework, including (1) ensuring that consumers trust oversight bodies and understand how their personal data is used, (2) ensuring strong privacy protection, clear consent rules and high interoperability to allow data sharing between digital platforms, and (3) learning from experiences in other countries, including the United Kingdom and Australia.

Enforcement Activity

Private Applicants Seek Leave to Bring Abuse of Dominance Applications Against Live Nation/Ticketmaster, Apple and Vistar

• In late November and December 2025, three separate applications for leave were filed at the Tribunal by private litigants alleging that Live Nation Entertainment, Inc. and Ticketmaster LLC, including their Canadian affiliates (Live Nation/Ticketmaster), Apple Canada Inc. and Apple Inc. (Apple) and Vistar Media Inc. (Vistar), respectively, had abused their dominant positions. In all three cases, the Bureau certified that the subject matter contained in the application for leave was not the subject of an ongoing inquiry, nor was it the subject of a past inquiry that was discontinued due to a settlement. To grant leave, either the applicants must show that their business has been directly and substantially affected in whole or in part by the alleged conduct, or the Tribunal must conclude that it is in the “public interest” to grant leave. These applications follow amendments to the Act that came into effect in June 2025, which lowered the threshold for private litigants to obtain leave to file applications for certain conduct under the Act, including abuse of dominance. For more information on the private litigation regime under the Act, see our June 2025 Blakes Bulletin: Canada Expands Private Litigation Regime Under Competition Act: Expanded Scope and New Monetary Compensation.

Competition Tribunal Interprets Public Interest Standing for First Time

• On January 13, 2026, in the Martin abuse of dominance case, the Tribunal released its first decision applying the “public interest” branch of the leave test for private applicants seeking to bring an application under the Act. In its decision, the Tribunal held that the test for leave in the “public interest” should be interpreted consistently with existing law on public interest standing as set out by the Supreme Court of Canada in British Columbia (Attorney General) v. Council of Canadians with Disabilities and Canada (Attorney General) v. Downtown Eastside Sex Workers United Against Violence Society, with modifications for the competition law context. The three prongs of the modified test are:

1. Is there a substantial and genuine competition law dispute that warrants a Tribunal proceeding?

2. Does the applicant have a genuine interest in the proposed application?

3. Is the proposed proceeding a reasonable and effective means to determine the competition issues raised?

The key adaptation of the test relates to the first prong, where the Tribunal particularized the test to ask whether there is a “substantial and genuine competition law dispute” as compared to the traditional question of “whether the case raises a serious justiciable issue.” The Tribunal also recognized that, unlike traditional public interest standing matters, such as in public and constitutional law, a leave application under the Act must be supported by affidavit evidence directed to the elements of the proposed claims. In determining whether the claim raises a “substantial” competition law issue, the Tribunal will focus “principally on the nature and scope of the filed evidence and the contents of the proposed notice of application,” and whether the application raises “worthwhile substantive issues to be tried between the parties in light of the overall requirements of the provision(s) for which leave is requested,” though a prima facie case or proof of every element at this preliminary stage is not required. Regarding “genuine,” the application must be directed towards addressing competition in a market and cannot concern a mere commercial quarrel between competitors. In adopting this three-part test, the Tribunal noted that, in assessing whether it is in the public interest to grant leave, the Tribunal “will weigh these considerations cumulatively and assess each of them practically, pragmatically and purposively using its expertise in competition law matters” and will “adopt a flexible approach that does not treat the three steps in the analysis as a checklist of mandatory requirements.”

In this case, the Tribunal denied leave, finding that, although the first prong of the test was satisfied, the applicant had not demonstrated a “genuine interest” or that the proposed proceeding was a reasonable and effective means to determine the issues, failing the second and third prongs of the test. For more information regarding the Martin case, see the Blakes Competitive Edge™: July 2025 Update.

Investment Canada Act

Foreign Investment Monitor 

Non-Cultural Investments

September 2025 Highlights

• Two reviewable investment approvals and 66 notifications filed (55 filed for an acquisition, 11 for the establishment of a new Canadian business)
• Country of ultimate control: United States (65%); United Kingdom (12%); France (7%); Germany (4%)

October 2025 Highlights

• Two reviewable investment approvals and 92 notifications filed (77 filed for an acquisition, 15 for the establishment of a new Canadian business)
• Country of ultimate control: United States (55%); France (10%); United Kingdom (6%); Italy (4%); Sweden (3%)

January – October 2025 Highlights

• Six reviewable investment approvals and 842 notifications filed (657 filed for an acquisition, 185 for the establishment of a new Canadian business)
• Country of ultimate control: United States (58%); France (8%); United Kingdom (6%); Germany (5%); China (2%)

Investment Canada Act Non-Cultural Investment Filings and Approvals, January – October 2025

Enforcement Activity

Federal Court Overturns Minister of Industry Order That Required TikTok to Wind Up its Canadian Operations

• On January 21, 2026, the Federal Court set aside the federal government’s November 2024 order by then-Minister of Industry Francois-Philippe Champagne requiring TikTok Technology Canada, Inc. (TikTok) to wind up its Canadian operations, sending the matter back to the Minister, now Melanie Joly, to conduct a fresh national security review. The Court’s decision was based on an agreement between TikTok and the federal government to settle TikTok’s legal challenge to the 2024 order by jointly seeking a court order that would effectively restart the national security review process. For more information on the November 2024 order, see the Blakes Competitive Edge™: December 2024 Update.

Non-Enforcement Activity

Government of Canada Publishes 2026 Thresholds for Net Benefit Reviews

• On January 12, 2026, the Government of Canada released the 2026 thresholds that will determine whether investments by foreign investors will be subject to a pre-closing “net benefit to Canada” review.
  • The threshold for direct acquisitions by trade agreement investors that are not state-owned enterprises and non-trade agreement investors that are not state-owned enterprises, where the Canadian business subject to the investment is controlled by a trade agreement investor prior to the investment’s implementation, increased to C$2.179 billion in enterprise value (from C$2.079 billion). This threshold applies to investors whose country of ultimate control is party to one of the following trade agreements:
    • The Canada-United Kingdom Trade Continuity Agreement
    • Comprehensive and Progressive Agreement for Trans-Pacific Partnership
    • Canada-European Union Comprehensive Economic and Trade Agreement Implementation Act
    • Canada-United States-Mexico Agreement
    • Canada-Chile Free Trade Agreement Implementation Act
    • Canada-Peru Free Trade Agreement Implementation Act
    • Canada-Colombia Free Trade Agreement Implementation Act
    • Canada-Panama Economic Growth and Prosperity Act
    • Canada-Honduras Economic Growth and Prosperity Act
    • Canada-Korea Economic Growth and Prosperity Act
  • The threshold for direct acquisitions by World Trade Organization (WTO) investors that are not state-owned enterprises and non-WTO investors that are not state-owned enterprises, where the Canadian business subject to the investment is controlled by a World Trade Organization investor prior to the investment’s implementation, increased to C$1.452 billion in enterprise value (from C$1.386 billion).
  • The threshold for direct acquisitions by WTO investors that are state-owned enterprise investors and non-WTO investors that are state-owned enterprises, where the Canadian business subject to the investment is controlled by a WTO investor prior to the investment’s implementation, increased to C$578 million in book value of assets being acquired (from C$551-million).
  • The threshold for all investors acquiring control of a Canadian cultural business, including all non-WTO investors that acquire control of a Canadian cultural business that is not controlled by a WTO investor, remained at C$5-million in asset value for direct investments and C$50-million in asset value for indirect investments.
  • Indirect acquisitions of non-cultural Canadian businesses continue not to be subject to review, although pending amendments will create some exceptions.

Canada Announces Memoranda of Understanding for Strengthened Energy Cooperation With China

• On January 15, 2026, in a joint statement with the Chinese government, Prime Minister Mark Carney announced the signing of several memoranda of understanding (MOUs) with China, including an MOU expressing a desire to strengthen energy cooperation between the two countries. Prime Minister Carney also noted that Canada would welcome investments from China into Canada’s energy, agriculture and consumer product sectors. In a press conference relating to the announcement, Minister of Industry Mélanie Joly and Minister of Energy and Natural Resources Tim Hodgson reiterated Canada’s openness to investments from Chinese firms, including into the country’s oil sands, noting that no amendments to the Investment Canada Act would be required to permit such investment. For more information, see our January 2026 Blakes Bulletin: Investment Canada Act Update: Canada Opens Door to Greater Investment From China and Expands Global Opportunities.

Blakes Notes

• On January 8, 2026, Blakes welcomed 14 lawyers into its partnership, including the Competition, Antitrust & Foreign Investment group’s Joe McGrade. Congratulations Joe!
• On January 19, 2026, Blakes Partner Julia Potter moderated a Canadian Bar Association panel on the types of anti-competitive conduct and agreements addressed by the Bureau’s draft Anti-Competitive Conduct and Agreements Enforcement Guidelines. Visit the Canadian Bar Association website for more information.
• On January 29, 2026, Blakes Partner Navin Joneja will be speaking on “Competition Policy, National Security and Global Trade” at the American Bar Association’s 2026 Diverse Perspectives: Antitrust in a Changing World conference. Visit the American Bar Association website for more information.
• On January 30, 2026, Blakes Partner Julie Soloway will be moderating a panel on sovereign wealth funds and private equity deals at the 2026 European Foreign Direct Investment (EUFDI) Annual Forum. Visit the EUFDI website for more information.
• Browse our thought-leadership insights from the Competition, Antitrust & Foreign Investment group to learn more.

Contact Us

If you have any questions, please do not hesitate to contact your usual Blakes contact or any member of the Blakes Competition, Antitrust & Foreign Investment group.