China, New Zealand seal trade deal as Beijing aims for multilateral push
Supporting multilateralism and free trade pact, China and New Zealand scored a trade agreement on Tuesday. This trade pact opens the door for exports from the Pacific nation to the world’s second-largest economy.
Trade Minister Damien O’Connor said the agreement expands an existing trade deal with China to ensure it remains fit for purpose for another ten years. The trade deal will enable tariffs to either be removed or slashed on most commodities-based exports of New Zealand, including dairy, timber, and seafood. Also, compliance costs will surely be lowered.
China’s trade deal with New Zealand will also open up other sectors including aviation, education, and finance. In return, New Zealand will increase visa quotas for Chinese language teachers and tour guides.
Previously, China has signed an investment deal with the European Union and joined the world’s largest free trade bloc in the 15-country Regional Comprehensive Economic Partnership (RCEP), which includes New Zealand.
The free trade pact makes China New Zealand’s largest trading partner with annual two-way trade of more than NZ$32 billion ($21.58 billion).