Politics, Power and Policy: Key Shifts in Canada’s Competition and Investment Law Landscape

In-house counsel are facing a rapidly evolving regulatory landscape as Canada tightens its competition regime and shifts its foreign investment approach. We outline five developments reshaping compliance expectations in 2025. 

1. Canada’s Economic Policy Reset Has Direct Regulatory Implications. Canada’s business environment is experiencing profound shifts in 2025, driven by intensifying global trade tensions and a new prime minister. The newly re-elected federal government, with its stated commitment to economic resilience and aggressive competition policy, is altering the climate for Competition Act (Act) enforcement and foreign investment reviews. As regulatory approaches adapt to these broader political currents, businesses must prepare for deeper scrutiny. 

2. Regulatory Exposure from Marketing Practices Is Growing. Amendments to the Act have introduced new provisions targeting greenwashing and drip pricing. The greenwashing provisions place a reverse onus on businesses while maple-washing is in focus given heightened trade tensions. Soon, private actors will be allowed to challenge marketing claims without regulatory intervention. In the absence of a clear legal test, companies face significant reputational, legal and financial risks, particularly as enforcement guidelines are ambiguous and current litigation challenging their constitutionality unfolds. 

3. Merger Enforcement Amendments. The first year under the amended merger provisions confirms a more empowered and assertive Competition Bureau. Structural presumptions now shift the burden to merging parties, and the repeal of the efficiencies defence has removed a critical tool for justifying economically beneficial mergers. Review timelines have lengthened, with new demands for data, evidence and compliance rigour. 

4. Contracting and Pricing: Practical Adjustments Needed. Broadened definitions of anti-competitive conduct now capture a wider range of distribution, pricing and contracting practices. These include a focus on exclusivity clauses and restrictive covenants in the real estate sector and excessive and unfair selling prices. Even moderate shares (potentially as low as 30%) may now trigger scrutiny, and new monetary penalties can be severe. Tailoring agreements and updating compliance policies is essential. 

5. Private Rights of Access to Tribunal to Increase. As of June 2025, private rights of access to the Competition Tribunal will expand significantly. Monetary compensation, disgorgement, loosened leave requirements and broader standing will likely lead to increased litigation at the Tribunal, particularly brought by competitors and public interest groups. Early risk mapping and litigation planning are prudent. 

Have more than five minutes? View our seminar on this topic or contact any member of our Competition, Antitrust & Foreign Investment group to learn more.