increase font size
Trade expert Stephen Jacobi says New Zealand should not be affected by Australia's disagreements with China.
A deepening trade spat between China and Australia shouldn’t impact New Zealand, according to trade analyst Stephen Jacobi.
He says NZ and China have a strong relationship, but “from time to time, there will be things on which we disagree”.
“New Zealand has made its views known in a careful and diplomatic way,” he told Rural News. “That should not affect our trade relations.”
China/Australia relations have been deteriorating since Australian Prime Minister Scott Morrison called for an international inquiry into the origins of the Covid-19 pandemic in April, a move that Beijing called “political manipulation”.
Since then the two sides have fought over several issues, particularly trade. China has slapped Australian winemakers with heavy tariffs, and banned, delayed or taxed exports of other products, including beef and barley. Australian exporters are worried that tariffs could spread to dairy exports.
Jacobi believes there is always potential for things to get worse if care is not taken.
“We hope Australia and China can get back to talking directly to each other as soon as possible,” he told Rural News.
“It does no good for New Zealand to see close friends and partners at odds with each other. Both China and Australia have recently signed the Regional Comprehensive Economic Partnership (RCEP), as has New Zealand – we should all focus more on deepening our co-operation in this way.”
China remains New Zealand’s biggest export market.
In 2020, New Zealand’s exports to China exceeded $16.7 billion, which was more than double that of our next biggest export market, Australia. The top three exports were dairy products (milk powder, butter, and cheese), wood (logs, wood, and wood articles), meat (meat and edible offal).
Last week, Fonterra chief executive Miles Hurrell said the dairy co-operative has a strong reliance on China and is watching geopolitical tensions closely.
“But we don’t get our nose involved in such disputes,” he says.
Jacobi doesn’t expect China to target NZ companies or products.
“There would be no reason for China to do this,” he says.
He also points out that NZ products enjoy a great reputation in China.
“We maintain positive political relations despite occasional disagreements. There is no reason for this to change.”
Earlier this month, the NZ Government raised concerns about China’s use on social media of a doctored image of an Australian soldier holding a knife to a child’s throat.
Last month, NZ signed a Five Eyes statement critical of a Chinese Government resolution, which led to the disqualification of four pro-democracy lawmakers in Hong Kong.
One of the most galling aspects of the tariffs whacked on our farm exports to the US is the fact that, now more than ever, US farmers are being propped up by government welfare – a direct result of Trump’s hardline on its trading partners.
China looks set to play a key role in helping the New Zealand wool sector shift away from trading as a commodity supplier.
If you find a new consumer in a developed wine market, you are taking them from someone else, says Blank Canvas co-founder Sophie Parker-Thomson MW.
The large 2025 harvest will exacerbate the wine industry's "lingering" supply from recent vintages, New Zealand Winegrowers Chief Executive Philip Gregan told attendees at Grape Days events around the country in June.
A Chinese business leader says Chinese investors are unfairly viewed as potential security risks in New Zealand.
Acclaimed fruit grower Dean Astill never imagined he would have achieved so much in the years since being named the first Young Horticulturist of the Year, 20 years ago.
The Ashburton-based Carrfields Group continues to show commitment to future growth and in the agricultural sector with its latest investment, the recently acquired 'Spring Farm' adjacent to State Highway 1, Winslow, just south of Ashburton.
New Zealand First leader and Foreign Affairs Minister Winston Peters has blasted Fonterra farmers shareholders for approving the sale of iconic brands to a French company.
A major feature of the Ashburton A&P Show, to be held on October 31 and November 1, will be the annual trans-Tasman Sheep Dog Trial test match, with the best heading dogs from both sides of the Tasman going head-to-head in two teams of four.
Fewer bobby calves are heading to the works this season, as more dairy farmers recognise the value of rearing calves for beef.
The key to a dairy system that generates high profit with a low emissions intensity is using low footprint feed, says Fonterra program manager on-farm excellence, Louise Cook.
OPINION: The Greens have taken the high moral ground on the Palestine issue and been leading political agitators in related…
One of the most galling aspects of the tariffs whacked on our farm exports to the US is the fact…
