"In its own words, China has ‘stood up’ and is now asserting its interests globally.
“It’s normal for states to pursue their interests and to use all the tools at their disposal to exert influence regionally and internationally.”
But Hipkins said China’s rise and how it sought to exert that influence was also a major driver of the increasing strategic competition in the Indo-Pacific region.
"Our region is becoming more contested, less predictable, and less secure.
“And that poses challenges for small countries like New Zealand that are reliant on the stability and predictability of international rules for our prosperity and security.
“In this increasingly complex global environment, our relationship with China will continue to require careful management.”
Hipkins said New Zealand had been firm and consistent in its commitment to its one China policy and the sense he had from his recent visit to China was that the relationship was in good shape.
“In engaging with China’s leadership, I made the point that in this relationship we will continue to talk candidly, but respectfully, about issues on which we differ. The same way in which we would with any other country.”
Hipkins said face-to-face engagement was a critical part of New Zealand’s diplomacy and while conversations were not always easy they were essential.
China is New Zealand’s largest trading partner, accounting for nearly 30 per cent of this country’s total exports of goods and services. Two-way goods and services trade was worth $38.5 billion in the year to June 30, 2022, with exports to China worth $20.9b, according to the Ministry for Foreign Affairs and Trade.
The PM said three principles would continue to guide its relationship with China - engagement and cooperation in areas of common interest, action to preserve, protect and promote New Zealand’s interests and working with partners.
Hipkins said areas of cooperation included environmental protection and climate change.
“On these, we have a range of dialogues, including on green finance and forestry and emissions trading schemes, as well as a regular Ministerial dialogue.”
He said one outcome from his visit to China was an agreement to step up policy engagement on e-vehicles, with China an important supply market for New Zealand consumers.
“I also heard first hand from businesses that sustainability credentials and environmentally friendly products are driving customer sentiment at great pace in the Chinese market.”
Hipkins said China was a vital and significant trading partner but he was also aware that market concentration could bring risk.
“We improve resilience when our businesses have access to a wide range of markets, and the New Zealand Government has continued to work hard on this, alongside our businesses.”
Trade Minister Damien O’Connor will also talk at the event about how to ensure trade and vital supply chains endure amid ongoing geopolitical and economic tensions, and how New Zealand’s role in digital trade is of growing significance. He will be joined by Tim Ayres, Australia’s assistant minister for trade.
He Wang Xiaolong, China’s ambassador to New Zealand, will also talk about how China is tracking.
Top-level CEOs such as Fonterra’s Miles Hurrell, Zespri’s Dan Mathieson and Auckland Airport’s Carrie Hurihanganui will also speak at the event.
