China opens opportunities for New Zealand

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China and New Zealand are discussing to upgrade the Free Trade Agreement, with a goal of 30 billion US dollars of bilateral trade by 2020. And that upgrade is under the framework of the Belt and Road Initiative, which has already opened up various opportunities for Kiwi.

China is New Zealand’s second-largest trading partner for exports and third-largest for imports. Based on Statistics New Zealand, New Zealand’s trade relationship with China has nearly tripled over the past decade, with an average of 13.2 % increase annually.

In October 2008, New Zealand became the first developed country to enter into an FTA with China. The FTA outlined incremental tariff removal on New Zealand exports to China, allowing for more opportunities, including improved visa processing for New Zealand business people entering China.

Live cattle from New Zealand arrives Shandong Province, China, August 21, 2017. /VCG Photo

New Zealand Consul General Guergana Guermanoff said the Chinese and New Zealand governments continue to negotiate changes to the free trade agreement. And the ongoing talks over the upgrade are “part and parcel” of Belt and Road, giving New Zealand the chance to pitch improved terms as something of benefit to both countries.

“Now we have new areas like a growing investment, e-commerce and new creative industries like film co-production. Under the Belt and Road initiative, there's been a new area of cooperation opened in sports tourism. And one of the areas that the trade is developing is high value, sensitive product,” said Guermanoff.

And the direct air route from China to New Zealand also signed that the “belt and road” between two nations is under “construction”. There are about 36 direct flights now between the cities in China and New Zealand.

VCG Photo

“The passengers between China and New Zealand boomed in the past three years. 2015, we see that the result of the Spring Festival chatter is very good. The load factor of the business class goes up,” said He Jiankai, deputy general manager of Network & Revenue management department at China Eastern.

"New Zealand’s engagement on China’s Belt and Road initiative is starting from a good base. Our relationship with China is built on a constructive, pragmatic approach in areas that align with our mutual interests," New Zealand’s Foreign Affairs Minister Gerry Brownlee said.

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