New Zealand is considering enhancing its economic partnership with China, a vital trade ally. The National Party leader, Christopher Luxon, has expressed an openness to Chinese government investment, specifically through the Belt and Road Initiative (BRI), to support New Zealand’s infrastructure projects.
China has long been a significant investor in New Zealand. According to New Zealand’s Ministry of Foreign Affairs, by March 2022, investments from China, including Hong Kong, reached NZD $11.46 billion. However, collaborating under the Belt and Road Initiative for infrastructure would be a novel approach.
When asked about the implications of such collaboration, given concerns raised in some other countries, Luxon responded that it would not result in excessive debt or an influx of migrant workers. He called such concerns “xenophobic” and overly simplistic.
On the other hand, David Seymour of the ACT Party expressed caution about becoming heavily indebted to China, citing experiences of some Pacific nations.
Economic relations with China are a hot topic as New Zealand approaches election season. The National Party is promoting a vision of a more open approach to foreign investment. Simeon Brown, National’s Transport Spokesperson, emphasised the party’s willingness to explore diverse funding sources for projects.
While building stronger economic ties, New Zealand remains attentive to its national security. The New Zealand Security Intelligence Service (NZSIS) recently released a report discussing global security threats. However, enhancing economic cooperation and addressing security concerns can be achieved simultaneously, benefiting both nations.
