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New Zealand PM launches China trade strategy

Updated: 2012-02-03 11:24

(Xinhua)

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AUCKLAND, New Zealand - New Zealand Prime Minister John Key on Friday laid out goals for strengthening the country's relationship with China and increasing two-way trade.

Launching the "NZ Inc China Strategy" in Auckland, Key said New Zealand was on track to double trade with China to NZ$20 billion ($16.59 billion) by 2015.

"We have a strong relationship with China and have seen good growth in trade over the past few years. The launch of the strategy today will help further strengthen that relationship," Key said in a statement.

The goal of doubling two-way trade from NZ$10 billion to NZ$20 billion by 2015 was agreed when he met visiting Chinese Premier Wen Jiabao in 2010.

"We are on track to meet that goal. Bilateral trade in the year to last September was up 22 percent on the year before, largely helped by the free trade agreement that came into force in late 2008," Key said.

New Zealand was the first, and still the only western economy, to have free trade agreement in place with China.

Key said the strategy set out ambitious medium term goals and provided a clear direction for the government over a five-year period.

"Trade with China is one of the success stories of the New Zealand export sector over the past decade or so. China is also New Zealand's largest source of foreign students and our fourth biggest tourist market and we plan to develop these areas further," said Key.

The strength of the relationship with China was underpinned by the Chinese community in New Zealand, which numbered more than 147, 000 and was growing.

Key said it was fitting the China Strategy was launched at the beginning of the auspicious Year of the Dragon, and also the year marking the 40th anniversary of New Zealand's diplomatic relations with China.

"There are good reasons for a strategy. China is the world's second largest economy and is still growing relatively fast. It is also a major influencer in the Asia Pacific region."

The strategy aimed to coordinate the work of government agencies and had a strong trade and economic focus.

"It is the second centralized strategy to be launched following India last October. In addition to India and China, other strategies under development are the US, Australia, South East Asia, Middle East and the European Union," Key said.

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