The problem with direct Chinese investment in Canadian corporations , is that direct investment is not a reciprocal arrangement between countries. As a Canadian businessman and investor I cannot directly invest in A Chinese domiciled business. I would need to do that in conjunction with a Chinese national .
Although possible , the process is fraught with risk, as control over everything remains with the local partner.
Until this changes I think allowing Chinese direct investment in Canada will be seen as a mistake in future years.