Angela Wilhelms - OBI President

Oregon Plummets to 39^th inWidely Followed State Business Ranking

 

Oregon has plummeted 11 places in CNBC’s widely followed America’s Top States for Businessrankings, falling from 28^th place in 2024 to 39^th in 2025. The rankings,released today, assess states in seven categories and assign an overall ranking. Oregon’s 2025 overall score is its lowest in the history of CNBC’s rankings and a stunning 22 places lower than its 17^th-place ranking just eight years ago (2017).

 

“CNBC’s rankings echo what businesses have been telling state leaders for years,” said Angela Wilhelms, president and CEO of Oregon Business & Industry. “Oregon’s slipping competitiveness should alarm policymakers. It’s well past time for them to listen to the business community and take serious action to improve the business climate. After all, a healthy private sector is necessary to create the economic conditions that lead to increased prosperity, greater philanthropy and tax revenue for important government services.”

 

Oregon’s rankings slipped in several key areas this year. The state’s economy ranking dropped seven places, to 41st; its cost-of-doing-business ranking fell nine places, to 43rd; and its cost-of-living ranking fell eight places, to 45th.Oregon’s ranking also fell dramatically for quality of life (from 6^th to 19^th) and technology and innovation (from 9^th to 14^th).

 

The state’s rankings increased in some areas. Oregon gained three places for infrastructure(14^th), 13 places for workforce (23^rd), two places for education (35^th), one place for access to capital (24^th)and one place for business friendliness (47^th). California joined New Jersey and New York this year as the only states deemed less business friendly than Oregon.

 

“CNBC’s methodology this year considered some factors beyond states’ control, including risks from a trade war and a shrinking federal budget, and that’s appropriate given that those issues can impact states differentially,” noted Wilhelms. “But that’s a small piece of the overall rankings picture. Blaming those national issues for Oregon’s eroding competitiveness while ignoring the state’s own policies and climate is a red herring.”