China both a target and a risk for NZ exporters
WELLINGTON, June 23 (Reuters) – As New Zealand Prime Minister Chris Hipkins prepares to lead a trade delegation to China seeking greater access for both the country’s primary exports and emerging sectors such as gaming, producers are diversifying away from their biggest market.
Beijing’s attempts to punish neighbouring Australia through trade for perceived intransigence over issues from the origin of COVID-19, to spying and human rights, has been noted in New Zealand. The percentage of New Zealand’s goods exports going to China dropped to 29% in the year to April from 31% in 2022, the first time since 2015 that the share of exports to China has dropped.
Wellington has historically taken a more conciliatory approach towards China than Australia or its other Five Eyes security partners. It signed an upgraded Free Trade Agreement during the pandemic and when former Prime Minister Jacinda Ardern met with President Xi Jinping in November last year, the Chinese leader noted New Zealand’s independent foreign policy.
But in recent years, New Zealand has become increasingly vocal on issues including human rights, the international rules based order and potential militarisation of the Pacific.
This month, it signed a joint statement of Western allies condemning economic coercion through trade.
“The heightened implication of the geopolitical landscape is huge,” said Mathew Talbot, general manager for Alliance, one of New Zealand’s largest beef and sheep meat exporters.
By Lucy Craymer | Reuters
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