Zambrano, who coached the MetroStars and LA Galaxy in the early years of MLS, will replace interim head coach Michael Findlay.
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Former coach Benito Floro was released by the team in September, after the Canucks failed to advance in World Cup qualifying.
Zambrano will also serve as Canadian soccer’s technical director, overseeing the men’s national team and all men’s national youth teams down to the under-14 age level.
The 59-year-old’s first home match will be June 13 in Montreal when Canada faces Curacao.
Canada is currently ranked 117th in the world by FIFA.
