New Zealand PM Hipkins scores trade deals on China trip

New Zealand PM Chris Hipkins (left) with Premier Li Qiang at the Great Hall of the People, in Beijing, on June 28, 2023. PHOTO: EPA-EFE

BEIJING - China and New Zealand on Wednesday signed a string of agreements designed to boost trade between the two countries, as their leaders met in Beijing for talks.

New Zealand Prime Minister Chris Hipkins is in China on a multi-day, multi-city mission to drum up business and help his nation exit an election-year recession.

After meeting Chinese President Xi Jinping on Tuesday, Mr Hipkins’ charm offensive continued on Wednesday, when he met Premier Li Qiang at the Great Hall of the People, greeted by a 48-strong band from the People’s Liberation Army.

Dialling down any criticism over China’s human rights abuses, tensions over Taiwan, and Beijing’s tacit support for Russia’s invasion of Ukraine, Mr Hipkins hailed the meeting as a reaffirmation of “important economic connections” between the countries.

“Our trading relationship is worth over NZ$40 billion (S$33 billion) annually,” Mr Hipkins said, stressing the need to “reaffirm the important economic connections we have with China”.

Mr Li, for his part, welcomed Mr Hipkins warmly as “a young and promising politician” and thanked him for the visit “after less than half a year in office”.

The two sides agreed in a joint declaration to strengthen trade and expand cooperation in areas such as e-commerce, the green economy, and establish a dialogue mechanism on new energy vehicles, Chinese state media reported.

They agreed on strengthening cooperation on food security and agriculture, based on recent talks on areas including diplomacy and defence, state media reported.

Both sides also undertook to begin negotiations on a“negative list” services framework this year. There was no elaboration in the joint statement that media published.

China’s relations with the United States have been severely strained in recent years while ties with other Western countries such as Australia and Canada have also been rocky at times over various differences.

New Zealand, however, has historically taken a conciliatory approach towards China and last year it upgraded its free trade pact with the Asian giant.

Chinese President Xi told Mr Hipkins in a meeting on Tuesday that China had always treated New Zealand as a “friend and partner” and was ready to promote a steady and sustained comprehensive strategic partnership.

Mr Xi told Mr Hipkins, who became prime minister in January, that he attached great importance to Sino-New Zealand ties.

With an eye on criticism rumbling at home, Mr Hipkins insisted that a “strong economic relationship” with China was “helping boost New Zealand’s economic recovery”.

New Zealand’s economy slid into recession earlier this year, fuelled by a drop in exports and a slowdown in the country’s all-important agriculture industry.

Wellington’s Western allies have long been concerned about what they see as the New Zealand economy’s overdependence on trade with China.

But with growth stalling and Mr Hipkins facing a tough campaign to secure another term in October, such concerns have been put on the back burner.

Mr Hipkins said “areas of difference, such as over human rights” were dealt with in a “respectful” way.

“We engaged on these as well, as we regularly do in a respectful but consistent way that is aligned with New Zealand’s independent interests and values,” Mr Hipkins said in a statement posted on his government’s website.

“I urged China to use its influence to encourage Russia to act consistently with its international obligations and cease its illegal war in Ukraine,” he added. AFP, REUTERS

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