Free trade agreements of New Zealand

New Zealand is party to several free trade agreements (FTAs) worldwide.

  New Zealand

  Free trade agreements in force

  FTA concluded but not in force

History

The Economy of New Zealand is a market economy which is greatly dependent on international trade, mainly with Australia, the United States of America, China and Japan. It is strongly dependent on tourism and agricultural exports, and has only small manufacturing and high-tech components. Economic free market reforms of the last decades have removed many barriers to foreign investment, and the World Bank has praised New Zealand as being the most business-friendly country in the world.^[1] Regional and bilateral free trade agreements have become an important part of New Zealand's international trade policy. New Zealand has used free trade agreements also known as closer economic partnerships to liberalise trade between economies. A Closer Economic Partnership Agreement with Thailand was negotiated in 2004 and implemented in 2005. Negotiations for a Free Trade Agreement with Chile, Brunei and Singapore known as the Trans-Pacific Strategic Economic Partnership were concluded in 2005. Negotiations for further agreements with Malaysia were undertaken in 2006, but failed to reach a conclusion. The historic FTA with China was signed in Beijing in April 2008.^[2]

On 27 February 2009 New Zealand and its close partner Australia signed a Free Trade Agreement with the ASEAN regional block of 10 countries. It is estimated that an FTA with ASEAN would boost aggregate GDP across the 12 countries by more than US$48 billion over the period 2000–2020 with an additional US$3.4 billion to New Zealand alone.^[3][4]

Free Trade Agreements in force

Here is a list of free trade agreements of which New Zealand is part. In parentheses, the abbreviation, if applicable, membership if not stated before, and the date of coming into force are to be seen.

Bilateral agreements

•   Australia: Closer Economic Relations (1983)^[5]
•   China: New Zealand–China Free Trade Agreement (2008)^[6]
•   European Union: New Zealand-European Union Free Trade Agreement (2022, to be brought into force by end of 2024)^[7]

•   Hong Kong: New Zealand–Hong Kong, China Closer Economic Partnership (2011)^[8][9]
•   Malaysia: Malaysia–New Zealand Free Trade Agreement announced on 2 June 2009^[10][11]
•   Singapore: New Zealand and Singapore Closer Economic Partnership (2001)^[12]
•   South Korea: NZ-Korea Free Trade Agreement (2015)^[13]
•   Taiwan: Agreement between New Zealand and the Separate Customs Territory of Taiwan, Penghu, Kinmen, and Matsu on Economic Cooperation (2013)^[14][15]
•   Thailand: New Zealand and Thailand Closer Economic Partnership (2005)^[16]
•   United Kingdom: New Zealand–United Kingdom Free Trade Agreement (Signed in 2021, entered into force on 31 May 2023.)^[17][18]

Multilateral agreements

• Trans-Pacific Strategic Economic Partnership (2005),^[19] with:
  •   Brunei (2005)
  •   Chile (2005)
  •   Singapore: (2005) – Auxiliary to the bilateral New Zealand and Singapore Closer Economic Partnership
•   Association of Southeast Asian Nations: ASEAN Australia NZ FTA (2009)^[20]
• Comprehensive and Progressive Agreement for Trans-Pacific Partnership (2018),^[21] with:
  •   Australia
  •   Brunei
  •   Canada
  •   Chile
  •   Japan
  •   Malaysia
  •   Mexico
  •   Peru
  •   Singapore
  •   United Kingdom
  •   Vietnam
• Regional Comprehensive Economic Partnership (2022),^[22] with:
  •   Australia
  •   Brunei
  •   Cambodia
  •   China
  •   Japan
  •   South Korea
  •   Laos
  •   Thailand
  •   Malaysia
  •   Singapore
  •   Vietnam

Proposed Free Trade Agreements

New Zealand is negotiating bilateral and multilateral free trade agreements with the following blocs and countries:

•  : New Zealand - Pacific Alliance – negotiating since 2017 ^[23]
•   Mercosur: New Zealand-Mercosur Free Trade Agreement – negotiating since 2010 ^[24][25][26]
•   Gulf Cooperation Council: Negotiations began in 2007 and concluded in 2009 but the agreement is not yet in force ^[27]
•   India India–New Zealand Free Trade Agreement – negotiating since 2007 with the establishment of a JSG (Joint Study Group) looking at the feasibility of an Indian-NZ FTA.^[28]
•   Russia Russia-Kazakhstan-Belarus Free Trade Agreement – negotiations began in 2010^[29] but are currently suspended^[30]
•   Kazakhstan Russia-Kazakhstan-Belarus New Zealand Free Trade Agreement – negotiations began in 2010^[29] but are currently suspended^[30]
•   Belarus Russia-Kazakhstan-Belarus Free Trade Agreement – negotiations began in 2010^[29] but are currently suspended^[30]

Abandoned or superseded proposals

• The Trans-Pacific Strategic Economic Partnership, a multilateral trade agreement involving 4 countries with which New Zealand has existing trade agreements – Malaysia, Brunei, Chile, Singapore, and Australia – and nations with which New Zealand does not have an existing FTA:
  •   United States: New Zealand–United States Free Trade Agreement.^[19] These negotiations resulted in the United States signing but not ratifying the now-defunct Trans-Pacific Partnership.
  •   Peru: Negotiated alongside the United States, Australia and Vietnam to join the Trans-Pacific Strategic Economic Partnership.^[31][32] Became part of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership.
  •   Vietnam: Negotiated alongside the United States, Australia and Peru to join the Trans-Pacific Strategic Economic Partnership.^[31] Became part of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership.
•   Japan: Conducting feasibility study as of (14 May 2008).^[33] Superseded as Japan joined the Comprehensive and Progressive Agreement for Trans-Pacific Partnership.

See also

• Free trade agreements of the United Kingdom
• Free trade agreements of the United States

References

1. "Doing Business 2018; World Bank" (PDF). doingbusiness.org. Retrieved 4 April 2018.
2. "NZ-China Free Trade Agreement". The Beehive. Retrieved 24 January 2020.
3. . www.mfat.govt.nz. Archived from the original on 24 February 2007.
4. Daley, Gemma (27 February 2009). "Asean, Australia, New Zealand Sign Free-Trade Deal (Update1)". Bloomberg. Retrieved 26 October 2010.
5. Australia and New Zealand Closer Economic Relations – NZ Ministry of Foreign Affairs and Trade
6. New Zealand-China Free Trade Agreement – NZ Ministry of Foreign Affairs and Trade
7. New Zealand Ministry of Foreign Affairs and Trade. "New Zealand-European Union Free Trade Agreement". New Zealand Ministry of Foreign Affairs and Trade. Retrieved 25 August 2022.
8. New Zealand-Hong Kong, China Closer Economic Partnership
9. "Hong Kong and New Zealand sign Closer Economic Partnership Agreement (with photos/videos)". Info.gov.hk. 29 March 2010. Retrieved 26 October 2010.
10. New Zealand-Malaysia Free Trade Agreement – NZ Ministry of Foreign Affairs and Trade
11. "NZ agrees to free trade deal with Malaysia | BUSINESS News". Tvnz.co.nz. 2 June 2009. Retrieved 26 October 2010.
12. Singapore/NZ CEP Agreement – NZ Ministry of Foreign Affairs and Trade
13. "NZ-Korea Free Trade Agreement". New Zealand Foreign Affairs & Trade. Retrieved 12 August 2020.
14. Agreement between New Zealand and the Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu on Economic Cooperation (ANZTEC) 24 December 2013 at the Wayback Machine. New Zealand Commerce and Industry Office. Retrieved 23 December 2013.
15. Tim Groser (20 November 2013). Minister welcomes ANZTEC entry into force. New Zealand Government.
16. Thailand/NZ CEP Agreement – NZ Ministry of Foreign Affairs and Trade
17. New Zealand Ministry of Foreign Affairs and Trade. "New Zealand-United Kingdom Free Trade Agreement". New Zealand Ministry of Foreign Affairs and Trade. Retrieved 25 August 2022.
18. "Landmark post-Brexit trade deals to come into force this month driving economic growth across the UK". Gov.UK. 5 May 2023.
19. Trans-Pacific Strategic Economic Partnership Agreement between Brunei Darussalam, Chile, New Zealand and Singapore – P4
20. "ASEAN Australia New Zealand FTA (AANZFTA)". Retrieved 22 January 2019.
21. "Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP)". Retrieved 22 January 2019.
22. "Regional Comprehensive Economic Partnership (RCEP)". Retrieved 2 March 2022.
23. . 30 November 2011. Archived from the original on 8 March 2021. Retrieved 22 May 2019.
24. "The Re-freshed Latin America Strategy: One Year Later Annual Report for the 2010-11 Financial Year" (PDF). New Zealand Ministry of Foreign Affairs and Trade. 30 November 2011. Retrieved 10 April 2012.
25. "Nova Zelândia quer tratado de livre comércio com Mercosul". Senado Brasileiro. 25 May 2011. Archived from the original on 22 April 2013. Retrieved 16 November 2011.
26. "New Zealand business and parliamentary connections in Latin America to be strengthened". New Zealand Parliament. 23 May 2011. Retrieved 16 November 2011.
27. "NZ - Gulf Cooperation Council FTA". New Zealand Ministry of Foreign Affairs and Trade. Retrieved 6 October 2018.
28. India Free Trade Agreement – New Zealand Ministry of Foreign Affairs and Trade 5 October 2008 at the Wayback Machine
29. "New Zealand eyes Russian Trade – 14 Nov 2010 – NZ Herald: New Zealand National news". NZ Herald. 14 November 2010. Retrieved 14 November 2010.
30. "Russia – Belarus – Kazakhstan Customs Union FTA". New Zealand Ministry of Foreign Affairs and Trade. Retrieved 6 October 2018.
31. "Australia To Join Trans-Pacific Partnership Trade Bloc – Min". News.alibaba.com. Retrieved 26 October 2010.
32. "The challenges of regional bodies". Taipei Times. 19 October 2010. Retrieved 26 October 2010.
33. "High powered push for Japan trade deal – 13 May 2008 – NZ Herald: New Zealand Business, Markets, Currency and Personal Finance News". NZ Herald. 13 May 2008. Retrieved 26 October 2010.

External links

• New Zealand Ministry of Foreign Affairs and Trade – Official site
• Ministry of Economic Development New Zealand – Official site
• Tariff Finder, Ministry of Foreign Affarirs and Trade - Tool to find export and import tariffs