Data for Business: Canadian Business Insights Q3 2025
Data for Business: Canadian Business Insights Q3 2025

‘Data for Business’ is an effort of the Langley Chamber, in partnership with the Canadian Chamber’s Business Data Lab, to bring our members reports, stats, and analysis on economic and business data to help inform business and investment decisions. Read our latest update below:
The Langley Chamber is pleased to share the Q3 2025 Business Insights Quarterly, published by the Canadian Chamber of Commerce. In this quarter's report, the picture remains one of fragile resilience. While business confidence steadied this quarter after five straight declines, the overall sentiment index remains at 95 — a clear signal of continued caution. Persistent costs, weak demand, and labour shortages continue to weigh on firms’ investment and hiring decisions, even as some areas show signs of adaptation.
“Businesses are showing remarkable resilience, but any confidence is fragile. Businesses have moved from weathering the storm to figuring out how to deal with it. But with business sentiment still poor, and pessimism growing, it underlines the tough realities businesses are facing and the need for governments to prioritize pro-business, pro-growth policies,” says Cory Redekop, CEO, Greater Langley Chamber of Commerce.
Key Findings:
Business Confidence: Steady but Fragile
- The Business Expectations Index held at 95, marking the fifth quarter in a row below the neutral 100 line.
- BC is tied for last amongst provinces for business confidence (tied with Ontario)
- Optimism improved among large firms (100+ employees), with an 11-point jump in outlook, while smaller firms saw little change, but pessimism rose to 20%, nearing last year’s high, highlighting the persistent caution in the economy.
Costs and Demand Still Top Concerns
- Inflation remains the single biggest obstacle, cited by 45% of businesses overall, and 43% in Metro Vancouver.
- Input costs, debt/interest, and insurance costs continue to weigh heavily
- Weak customer demand remains challenge, outpacing labour challenges for the fourth quarter running.
- In fact, in Metro Vancouver customers are the #2 and #3 concern (fluctuating demand and attracting customers), higher than the country as a whole
- In Metro Vancouver, all 11 measured business obstacles were cited by more businesses in Q3 than in Q2
Trade Pressures and Adaptation
- One-third of trade-engaged Canadian businesses report negative impacts from U.S. tariffs, with manufacturers and retailers hardest hit.
- Firms are responding: diversification of suppliers and sales is up, and CUSMA preference utilization hit a 20-year high at 53%.
- Encouragingly, half of businesses say they can withstand current tariffs and uncertainty for more than a year.
Labour Market: Easing, but Still a Challenge
- Job vacancies are declining while unemployment edges up, easing some tightness.
- Still, labour shortages remain a top three obstacle, concentrated in construction, accommodation and food services, and wholesale trade.
- Youth unemployment remains above pre-pandemic levels, raising long-term workforce concerns.
Outlook: Slow Growth Ahead
- Canada’s economy remains stuck in slow gear, with GDP expected to grow just 1.3% this year -- down from 1.5% in 2024 -- following a 1.6% annualized decline in Q2
- Businesses continue to adapt and show resilience, but persistent costs, trade frictions, and labour gaps will keep sentiment subdued unless addressed through stronger pro-growth policies
Full Report
To explore the full Q3 2025 Business Insights Quarterly report, click the image below: