An iconic 354-year-old Canadian retailer is going out of business and shutting down all of its stores.
And it’s pointing the finger at America and the ongoing tariff war.
Hudson’s Bay, a retailer and an anchor to dozens of malls across Canada, is preparing for an ‘immediate’ liquidation after failing to secure enough money to stay afloat.
Clearance sales will begin as early as next week at all 80 Hudson’s Bay locations, as well as three Saks Fifth Avenue and 12 Saks Off 5th stores it operates in Canada.
Hudson’s Bay blames its collapse on sluggish consumer spending, post-pandemic declines in foot traffic, and even trade tensions between Canada and the U.S.
The two countries have been engaged in a brutal back-and-forth after President Donald Trump launched tariffs on Canadian imports.
Canada hit back with duties on $20 billion worth of American goods.
The tariffs, a cornerstone of President Trump’s economic vision, are expected to raise prices for everyday Americans and Canadians who have already been hurt by inflation and high borrowing costs.
Hudson Bay filed court papers that warned it might shutter all of its store by June 15
But retail experts told Daily Mail that the iconic Canadian brand was in trouble before President Trump reclaimed the White House.
‘Bankruptcy is just the latest twist in a long running saga,’ Neil Saunders, the managing director of GlobalData’s retail division, said.
‘The central problem is one of experience. Across most of its stores, Hudson’s Bay has provided the shopper with a sub-par experience and this has created a situation in which traffic and spend has declined.
‘The chain has basically become far less relevant to Canadian shoppers and even its heritage and iconic status have not been enough to offset this.’
Hudson Bay is in negotiations with some of its debtors. If the these fail, all stores may close by June 15.
The company owes more than $950 million to suppliers, such as Ralph Lauren and Chanel.
The collapse would leave 9,364 people out of work.
‘Our team has worked incredibly hard to identify a viable path forward,’ Liz Rodbell. the company’s CEO, said.
The chain said it currently employs over 9,000 people – all of their jobs are on the line with the impending negotiations
Hudson Bay has been a mainstay in Canadian malls, selling products for more than three centuries
The company, which has ties back to 17th-century fur trades, has been a mainstay in Canadian retail for decades.
Hudson Bay still sells an iconic striped wool blanket found in many Canadian households.
There has been a run on the blankets since rumors about the company’s potential demise, according to the Times Columnist.
The company has also changed hands multiple times in the past decade, including partnerships with real estate mogul Richard Baker and Lord and Taylor.
Hudson Bay went independent in December 2024, keeping both Saks-based brands under its wing.
American Saks stores, which are now part of a $2.7 billion acquisition with Neiman Marcus Group, are not impacted by the Canadian company’s court filings.
