Export NZ welcomes expected FTA with China
7 April 2008
Export New Zealand welcomes expected FTA with China
Export New Zealand welcomes today’s expected historic signing of a free trade agreement with China. It is anticipated that the agreement will open the Chinese market to our exports, especially in the agricultural and manufacturing sectors.
New Zealand is the first OECD country to sign a comprehensive bilateral Free Trade Agreement with China. The agreement contains a “preferred country” clause allowing New Zealand to benefit from other FTAs. Tariffs on goods and services, averaging around 15 per cent, will all but disappear in the future.
“This agreement levels the playing field for our exporters as most goods from China already enter duty-free,” said Bob Walters, CEO of Export New Zealand, a private advocacy group for exporters.
“Our exporters will benefit from securing preferential entry for our goods and services into China, the world’s fastest growing economy,” Walters said. “The opportunities arising from this FTA will see positive, long-term results.”
Along with the boost to exports, benefits from the FTA should flow through our economy. The agreement is expected to bring at least $200 million into the economy in the next decade. China is the country’s third largest trading partner.
“New Zealand exporters will be well-positioned to benefit as China moves its economy into its next phase,” Walters said.