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Canada Goose stocks drop amidst Canada-China feud

Published
Dec 12, 2018
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Canada Goose is caught in the middle of a Canada-China feud.

Canada Goose stocks drop amidst China's anger over Huawei arrest. - Facebook: Canada Goose

 
The Toronto-based company’s hot apparel stock has plummeted almost 20 percent over the last five days, after being the target of a boycott prompted by Canada’s involvement in the arrest of Huawei’s Chief Financial Officer Meng Wanzhou.
 
Chinese media is allegedly encouraging consumers in China to boycott the Canadian brand, among others. The CFO of the Chinese technology giant was detained in west Canada in Vancouver at the request of U.S. authorities. She’s also the eldest daughter of the company’s founder, Ren Zhangfei.

The proudly Canadian company founded in 1957 appears to be an easy target for a Canadian boycott with “Canada” part of its name.

The crossfire comes at a tough time for the high-end parka maker who just recently set eyes on the Chinese market with its own retail expansion. 
 
Just earlier this year, Canada Goose launched on the Tmall e-commerce platform and opened a Hong Kong location at the IFC mall. Canada Goose also has plans to open a permanent store in Taikoo Li Sanlitun North Mall this winter.
 
The brand entered the Chinese market five years ago with a presence in upscale department stores such as Lane Crawford.

Canada Goose has been in expansion mode since going public in 2017, venturing into retail and expanding into new product categories. The company currently has stores in London, Toronto, New York, Boston, Chicago, Calgary and Tokyo, among others.

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