Canada dropped an 83-67 decision to Puerto Rico on Saturday at the FIBA Americas Championship basketball tournament.
Forward Andrew Nicholson led Canada with 21 points and seven rebounds, while Tristan Thompson finished one rebound shy of a double-double to go along with his 20 points.
"Puerto Rico is one of the strongest teams in this tournament," said head coach Jay Triano. "We competed hard and grinded for three quarters, but it was tough going into the fourth.
"Their experience showed. Their three veterans displayed what they are capable of. We now have to bounce back and focus on tomorrow. It's a long tournament with eight games in ten days."
Carlos Arroyo had 20 points for Puerto Rico.
Canada opened the tournament with a 85-64 victory over Jamaica on Friday and will play Brazil on Sunday and Uruguay on Tuesday.
The tournament semifinalists will advance to the 2014 FIBA World Cup in Spain.