News Summary
Virginia has fallen to fourth place in CNBC’s 2025 America’s Top States for Business rankings, slipping from its previous top position. While the state scored well in education and infrastructure, its economic performance ranked just 14th, largely due to budget cuts and tariffs. This decline has raised concerns about Virginia’s competitive edge in attracting businesses. With North Carolina taking the lead, Virginia’s future strategy will be crucial in reclaiming its status in subsequent rankings.
Virginia Drops to Fourth in CNBC’s 2025 America’s Top States for Business Rankings
Virginia has fallen to No. 4 in CNBC’s 2025 America’s Top States for Business rankings, a significant drop from its previous position as the top-ranked state last year. North Carolina has claimed the number one spot for 2025, with Virginia accumulating a total score of 1,578 points out of a possible 2,500.
Virginia’s performance in the rankings reveals a mix of strengths and weaknesses. The state excelled in education, securing the top position in that category, while its infrastructure ranking came in second. Additionally, Virginia ranked within the top ten states for quality of life, technology and innovation, business friendliness, and access to capital.
However, the state’s overall economy garnered a lower ranking, sitting at 14th place. This decline can be attributed to several challenges, including budget cuts and the impact of tariffs that have affected its economic performance. The drop to fourth represents Virginia’s worst ranking since 2018 and marks a departure from a history of excellence, having been ranked No. 1 six times since 2007.
In the overall standings of the 2025 rankings, Texas occupies the second position, followed by Florida in third place, and Ohio rounding out the top five at fifth position. The competition among the states is fierce, as numerous factors contribute to the rankings.
CNBC’s ranking methodology evaluates states based on 135 metrics across ten categories of competitiveness. This year, new criteria were added to assess the states’ risks stemming from trade wars and shrinking federal budgets. These factors played a crucial role in shaping the results for Virginia and other states.
The rankings serve as an important indicator for businesses evaluating where to locate or expand operations, as they reflect the overall business climate within each state. Virginia’s combination of strong education and infrastructure, alongside challenges in economic performance, highlights the state’s complex position in today’s competitive landscape. As states continue to navigate shifting economic conditions and policy challenges, Virginia’s standing will be influenced by its ability to address these issues and maintain its reputation as a favorable business environment.
As the business landscape evolves, Virginia will need to reassess its strategies to improve its economic ranking and performance to maintain its competitive edge in future assessments. The shift in the rankings underscores the need for states to not only promote their strengths but also mitigate weaknesses to enhance their appeal to businesses and investors.
In summary, Virginia’s drop to fourth place in CNBC’s latest rankings marks a notable change in its standing, raising questions about the state’s future performance and competitive strategies in the ever-changing business environment. As the state addresses these challenges, focus on enhancing its economic performance will be vital in striving for a return to the top rankings in coming years.
Deeper Dive: News & Info About This Topic
- Virginia Mercury
- Pilot Online
- CNBC
- Encyclopedia Britannica: Virginia business rankings
- Google Search: Virginia business rankings 2025
Author: STAFF HERE WILLIAMSBURG WRITER
WILLIAMSBURG STAFF WRITER The WILLIAMSBURG STAFF WRITER represents the experienced team at HEREWilliamsburg.com, your go-to source for actionable local news and information in Williamsburg, James City County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Williamsburg Farmers Market, Yorktown Market Days, and Busch Gardens Food & Wine Festival. Our coverage extends to key organizations like the Greater Williamsburg Chamber of Commerce and Colonial Williamsburg Foundation, plus leading businesses in education and hospitality that power the local economy such as College of William & Mary, The Williamsburg Winery, and Sodexo. As part of the broader HERE network, including HEREVirginiaBeach.com, we provide comprehensive, credible insights into Virginia's dynamic landscape.
