China-NZ Ties: New Zealand healthcare company builds first Chinese manufacturing facility
Error loading player: No playable sources found

New Zealand companies continue to expand their investments in China. Even during the pandemic, trade volumes between the two countries grew steadily. China is now New Zealand's largest trading partner. Cao Chufeng has more from Guangzhou.

In its over 50 years of history, Fisher & Paykel Healthcare was producing its medical devices in New Zealand and Mexico.

But now, it's constructing its first manufacturing base in China in the southern city of Guangzhou. The facility is expected to be operational by the end of the year. Most of the products made there will be sold in China; the huge Chinese market is one of the reasons behind its location.

HOU ZHIPING General Manager, Greater China Fisher & Paykel Healthcare "The main reason we decided to (construct the facility) in China is that our company policy, 'in China for China.' Because the China medical device market is the second largest in the world, and it's in a fast growth rate."

Besides healthcare, New Zealand's food and tourism companies have also been making plans to attract more Chinese customers. For a long time, their products have been well-received by the Chinese market. In fact, trade between the two countries has continued to grow since they signed a free trade agreement in 2008.

PETE FROST New Zealand Trade Commissioner for Southern China "The free trade agreement is a success story for both countries. And it's been a catalyst for cooperation across a number of areas. The strengthen of that relationship has also encouraged more and more New Zealand exporters to invest and understand Chinese consumers. The reputation of New Zealand's products is also key to this export success."

Although, the COVID-19 pandemic created barriers for trade and exchange between the two countries, business remained steady.

PETE FROST New Zealand Trade Commissioner for Southern China "Trade was effected, as both New Zealand and China introduced series of measures to keep people safe. But our long standing relationship, meant there was good will on both sides to maintain trade as much as possible during the COVID period. And in fact, we actually saw two-way trade grow during COVID."

CAO CHUFENG Guangzhou "New Zealand is the first developed country to sign a free trade agreement with China. And China is now New Zealand's largest trading partner. The two countries have a good record when it comes to doing business. And with the free trade agreement further upgraded last year, we might be seeing even more business between these two in the coming years. Cao Chufeng, CGTN, Guangzhou."

`