Canada-China spat could sour business relations, experts say

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Experts say souring relations between Ottawa and Beijing could affect Canadian companies in China, potentially tarnishing the appeal of Canadian brands for Chinese consumers.

Companies like Canada Goose, Roots, Lululemon and Tim Hortons have expanded into China in recent years, leaning into Canada's reputation as a source of quality goods and often featuring the red maple leaf in store and product branding.

But retail analyst Bruce Winder says a diplomatic spat between Ottawa and Beijing could spur a "soft boycott" of Canadian brands in China. Tims China chairman Peter Yu said in February that the coffee and doughnut chain had 600 locations in China, with plans to grow to a thousand by the end of 2023.

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