Change in Foreign Asset Ownership in Canada

Ownership shapes who makes business decisions and who captures that value of Canada’s economic activity. Canada has some of the highest levels of foreign ownership and control in the G-7.

Foreign control in Canada has steadily declined over the last 15 years — with a notable exception in key cultural industries like newspapers, sports, movie production, broadcasting, and gambling.

Foreign controlled firms also play a significant role in Canada’s trade exposed industries — things like wholesale trade, manufacturing, mining and oil and gas. In these sectors, Statistics Canada says concentration of foreign control is 30-50%.

The Carney government is trying to drive more private investment in Canada’s critical infrastructure, and we should expect foreign ownership to tick up as Ottawa chases investment from multiple sources. I’m going to be keeping my eye out to see if this drive for investment reverses the 15 year trend of declining foreign control – and what industries any increase is concentrating in.

When key systems, platforms and infrastructure are under foreign control, Canada loses the ability to set or implement its own rules, protect national security, safeguard data and ensure that value created here stays here. Foreign ownership can limit our capacity to foster domestic innovation, capture value and spread the benefits broadly.

Foreign controlled corporations have always played a significant role in the Canadian economy, so this on its own is not concerning – but their dominance in critical sectors raises serious questions about sovereignty and economic resilience.

Tracking foreign control of our economy isn’t about rejecting foreign investment altogether, but about being strategic: ensuring that Canada retains democratic governance and control over the systems that underpin our economy. Governments should be reconsidering foreign ownership limits in key sectors from culture and arts to transportation and digital infrastructure and must be ready to put the power of the Investment Canada Act to use to achieve an overarching goal: increasing Canada’s economic resilience and strengthening our sovereignty.