Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search


Summary of the Joint China-New Zealand FTA Study

Summary of the Joint China-New Zealand FTA Feasibility Study

The study concludes that both China and New Zealand will benefit from an FTA.

Both economies will expand, as will bilateral trade, if immediate and comprehensive and reciprocal elimination of trade barriers is achieved between China and New Zealand.

For China there will be some expansion in exports to New Zealand but most gains will be achieved by enhanced domestic economic efficiency through increased competition and allocative efficiency within its economy.

For New Zealand there will be limited domestic efficiency gains - most of the benefits will be achieved through an expansion in exports. New Zealand exports of goods and services to China between 2007 and 2027 are expected to grow between NZ$260 and $400 million a year (US$180-280 million).

Chinese exports of goods and services to New Zealand between 2007 and 2027 are expected to grow between NZ$60 and $100 million a year (US$40-70 million).

The study notes the complementarities that exist between the Chinese and New Zealand economies and does not identify any major problems standing in the way of a free trade agreement.

The study concludes that an FTA will deliver positive benefits across both economies, but notes that some sectors in both China and New Zealand might face some adjustment challenges and recommends that these be taken into account in negotiations.

It recommends that negotiations start as soon as possible and cover goods, services and investment. The text of the study makes it clear that negotiations must cover all goods.

This recommendation has been agreed by both Governments. When they met in Santiago on November 19 2004, Prime Minister Helen Clark and Chinese President Hu Jintao announced that negotiations would begin as quickly as possible.

A wide range of non-tariff measures is identified as affecting trade on top of tariff barriers, which can be quite high in some product areas. Likewise a range of services and investment barriers is also identified.

The importance of sustainable development – including labour and environment issues for both Governments – is highlighted in the study. Specific outcomes are envisaged.

On top of the barriers identified, the study also covers capacity building, Customs facilitation, e-commerce, intellectual property, sanitary and phytosanitary measures, SME cooperation, technical regulations and standards, temporary entry/mobility of business people, trade and investment promotion, competition policy and government procurement.

NOTE: the full study will be available on the Ministry of Foreign Affairs and Trade website from Saturday 20 November.

© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On The Peters/Ardern Triumph

There are a lot of good reasons to feel joyful about this outcome. It is what so many young voters – the best hope for the country’s future – wanted.

Far more important than the implications for the Economy Gods ( is the dollar up or down? ) last night’s outcome will also mean many, many vulnerable New Zealanders will have a better life over the next three years at least.

Yet the desire for change was in the majority, across the country..>>>More


Labour on its agreement |Peters: Post-Election Announcement Speech | Greenpeace “cautiously hopeful” about new Government | ACT - Madman on the loose | E tū ecstatic | Chamber welcomes the outcome | Greens on their joining Govt | EDS welcomes new govt | Immigrant groups worry | Feds ready to engage new coalition government | Labour Ministers of the Crown announced


Climate: Increasing Greenhouse Emissions Hit NZ

New Zealand is seeing impacts of excess greenhouse gas emissions in our climate and oceans, according to the latest national report from the Ministry for the Environment and Stats NZ about the state of the atmosphere and climate…More>>


Wellington.Scoop: Arrests At Blockade Of "Weapons Expo"

“We encourage people in Wellington to get down to the Westpac Stadium now for a day of awesome peace action. There will be plenty of food, music and activities to keep us sustained through the day.” More>>


Rorschach Restructuring: PSA Taking Inland Revenue To Court Over Psychometrics

The Public Service Association will be seeing Inland Revenue in Employment Court over its intention to psychometrically test employees reapplying for their roles at the department as part of its controversial Business Transformation restructuring plan. More>>


Nuclear Disarmament: Nobel Peace Prize 2017 Awarded To ICAN

Congratulations from iCAN Aotearoa New Zealand to international iCAN, the other iCAN national campaigns and partner organisations, and the countless organisations and individuals who have worked so hard for a nuclear weapons-free world since 1945. More>>


Expenses: Waikato DHB CEO Resigns

An independent inquiry has identified that Dr Murray had spent more than the agreed $25K allocated for relocation costs, and other unauthorized expenses involving potential financial breaches of the chief executive’s obligations. More>>


Wellington.Scoop: Sad About The Trolley Buses?

The Regional Council’s MetLink is today spending money to tell us that it really loves Wellington’s trolley buses, even though they’re all being taken off our roads by the end of this month. More>>


Post-Election: Preliminary Coalition Talks Begin

New Zealand First will hold post-election preliminary discussions in Wellington with the National Party tomorrow morning and the Labour Party tomorrow afternoon. More>>




Featured InfoPages

Opening the Election