NZ Herald
  • Home
  • Latest news
  • Herald NOW
  • Video
  • New Zealand
  • Sport
  • World
  • Business
  • Entertainment
  • Podcasts
  • Quizzes
  • Opinion
  • Lifestyle
  • Travel
  • Viva
  • Weather

Subscriptions

  • Herald Premium
  • Viva Premium
  • The Listener
  • BusinessDesk

Sections

  • Latest news
  • New Zealand
    • All New Zealand
    • Crime
    • Politics
    • Education
    • Open Justice
    • Scam Update
  • Herald NOW
  • On The Up
  • World
    • All World
    • Australia
    • Asia
    • UK
    • United States
    • Middle East
    • Europe
    • Pacific
  • Business
    • All Business
    • MarketsSharesCurrencyCommoditiesStock TakesCrypto
    • Markets with Madison
    • Media Insider
    • Business analysis
    • Personal financeKiwiSaverInterest ratesTaxInvestment
    • EconomyInflationGDPOfficial cash rateEmployment
    • Small business
    • Business reportsMood of the BoardroomProject AucklandSustainable business and financeCapital markets reportAgribusiness reportInfrastructure reportDynamic business
    • Deloitte Top 200 Awards
    • CompaniesAged CareAgribusinessAirlinesBanking and financeConstructionEnergyFreight and logisticsHealthcareManufacturingMedia and MarketingRetailTelecommunicationsTourism
  • Opinion
    • All Opinion
    • Analysis
    • Editorials
    • Business analysis
    • Premium opinion
    • Letters to the editor
  • Politics
  • Sport
    • All Sport
    • OlympicsParalympics
    • RugbySuper RugbyNPCAll BlacksBlack FernsRugby sevensSchool rugby
    • CricketBlack CapsWhite Ferns
    • Racing
    • NetballSilver Ferns
    • LeagueWarriorsNRL
    • FootballWellington PhoenixAuckland FCAll WhitesFootball FernsEnglish Premier League
    • GolfNZ Open
    • MotorsportFormula 1
    • Boxing
    • UFC
    • BasketballNBABreakersTall BlacksTall Ferns
    • Tennis
    • Cycling
    • Athletics
    • SailingAmerica's CupSailGP
    • Rowing
  • Lifestyle
    • All Lifestyle
    • Viva - Food, fashion & beauty
    • Society Insider
    • Royals
    • Sex & relationships
    • Food & drinkRecipesRecipe collectionsRestaurant reviewsRestaurant bookings
    • Health & wellbeing
    • Fashion & beauty
    • Pets & animals
    • The Selection - Shop the trendsShop fashionShop beautyShop entertainmentShop giftsShop home & living
    • Milford's Investing Place
  • Entertainment
    • All Entertainment
    • TV
    • MoviesMovie reviews
    • MusicMusic reviews
    • BooksBook reviews
    • Culture
    • ReviewsBook reviewsMovie reviewsMusic reviewsRestaurant reviews
  • Travel
    • All Travel
    • News
    • New ZealandNorthlandAucklandWellingtonCanterburyOtago / QueenstownNelson-TasmanBest NZ beaches
    • International travelAustraliaPacific IslandsEuropeUKUSAAfricaAsia
    • Rail holidays
    • Cruise holidays
    • Ski holidays
    • Luxury travel
    • Adventure travel
  • Kāhu Māori news
  • Environment
    • All Environment
    • Our Green Future
  • Talanoa Pacific news
  • Property
    • All Property
    • Property Insider
    • Interest rates tracker
    • Residential property listings
    • Commercial property listings
  • Health
  • Technology
    • All Technology
    • AI
    • Social media
  • Rural
    • All Rural
    • Dairy farming
    • Sheep & beef farming
    • Horticulture
    • Animal health
    • Rural business
    • Rural life
    • Rural technology
    • Opinion
    • Audio & podcasts
  • Weather forecasts
    • All Weather forecasts
    • Kaitaia
    • Whangārei
    • Dargaville
    • Auckland
    • Thames
    • Tauranga
    • Hamilton
    • Whakatāne
    • Rotorua
    • Tokoroa
    • Te Kuiti
    • Taumaranui
    • Taupō
    • Gisborne
    • New Plymouth
    • Napier
    • Hastings
    • Dannevirke
    • Whanganui
    • Palmerston North
    • Levin
    • Paraparaumu
    • Masterton
    • Wellington
    • Motueka
    • Nelson
    • Blenheim
    • Westport
    • Reefton
    • Kaikōura
    • Greymouth
    • Hokitika
    • Christchurch
    • Ashburton
    • Timaru
    • Wānaka
    • Oamaru
    • Queenstown
    • Dunedin
    • Gore
    • Invercargill
  • Meet the journalists
  • Promotions & competitions
  • OneRoof property listings
  • Driven car news

Puzzles & Quizzes

  • Puzzles
    • All Puzzles
    • Sudoku
    • Code Cracker
    • Crosswords
    • Cryptic crossword
    • Wordsearch
  • Quizzes
    • All Quizzes
    • Morning quiz
    • Afternoon quiz
    • Sports quiz

Regions

  • Northland
    • All Northland
    • Far North
    • Kaitaia
    • Kerikeri
    • Kaikohe
    • Bay of Islands
    • Whangarei
    • Dargaville
    • Kaipara
    • Mangawhai
  • Auckland
  • Waikato
    • All Waikato
    • Hamilton
    • Coromandel & Hauraki
    • Matamata & Piako
    • Cambridge
    • Te Awamutu
    • Tokoroa & South Waikato
    • Taupō & Tūrangi
  • Bay of Plenty
    • All Bay of Plenty
    • Katikati
    • Tauranga
    • Mount Maunganui
    • Pāpāmoa
    • Te Puke
    • Whakatāne
  • Rotorua
  • Hawke's Bay
    • All Hawke's Bay
    • Napier
    • Hastings
    • Havelock North
    • Central Hawke's Bay
    • Wairoa
  • Taranaki
    • All Taranaki
    • Stratford
    • New Plymouth
    • Hāwera
  • Manawatū - Whanganui
    • All Manawatū - Whanganui
    • Whanganui
    • Palmerston North
    • Manawatū
    • Tararua
    • Horowhenua
  • Wellington
    • All Wellington
    • Kapiti
    • Wairarapa
    • Upper Hutt
    • Lower Hutt
  • Nelson & Tasman
    • All Nelson & Tasman
    • Motueka
    • Nelson
    • Tasman
  • Marlborough
  • West Coast
  • Canterbury
    • All Canterbury
    • Kaikōura
    • Christchurch
    • Ashburton
    • Timaru
  • Otago
    • All Otago
    • Oamaru
    • Dunedin
    • Balclutha
    • Alexandra
    • Queenstown
    • Wanaka
  • Southland
    • All Southland
    • Invercargill
    • Gore
    • Stewart Island
  • Gisborne

Media

  • Video
    • All Video
    • NZ news video
    • Herald NOW
    • Business news video
    • Politics news video
    • Sport video
    • World news video
    • Lifestyle video
    • Entertainment video
    • Travel video
    • Markets with Madison
    • Kea Kids news
  • Podcasts
    • All Podcasts
    • The Front Page
    • On the Tiles
    • Ask me Anything
    • The Little Things
  • Cartoons
  • Photo galleries
  • Today's Paper - E-editions
  • Photo sales
  • Classifieds

NZME Network

  • Advertise with NZME
  • OneRoof
  • Driven Car Guide
  • BusinessDesk
  • Newstalk ZB
  • Sunlive
  • ZM
  • The Hits
  • Coast
  • Radio Hauraki
  • The Alternative Commentary Collective
  • Gold
  • Flava
  • iHeart Radio
  • Hokonui
  • Radio Wanaka
  • iHeartCountry New Zealand
  • Restaurant Hub
  • NZME Events

SubscribeSign In
Advertisement
Advertise with NZME.
Home / Business / Economy

<i>Fran O'Sullivan:</i> Chinese wall on free trade

Fran O'Sullivan
By Fran O'Sullivan
Head of Business·
13 Nov, 2007 04:00 PM5 mins to read

Subscribe to listen

Access to Herald Premium articles require a Premium subscription. Subscribe now to listen.
Already a subscriber?  Sign in here

Listening to articles is free for open-access content—explore other articles or learn more about text-to-speech.
‌
Save

    Share this article

KEY POINTS:

New Zealand's public negotiating stance on the important free trade deal with China sometimes seems so opaque it's tempting to think the Kiwis are "more Chinese" in this respect than their counterparts.

The New Zealand negotiators - officials from the Ministry of Foreign Affairs and Trade (MFAT) -
are gearing up for what both sides hope will be final talks in Wellington, where vital trade-offs will be made so that a deal can be signed at top political level before the end of next April.

Despite suggestions at the recent Sydney Apec that talks would occur in mid-November, a date has yet to be set. New Zealand is still waiting for China to signal whether the final set of negotiations will take place at the end of the month, or early December.

Several factors are at play. The missing details concerning the trade in goods (including agriculture) and services and the investment chapter will be finalised in the tradeoffs in the final talks; the Chinese Government has yet to select a successor to Commerce Minister Bo Xilai, and the recent 17th Party Congress in Beijing has stressed that people must come first as the Chinese economy develops.

If the negotiations can be finalised in April in line with the negotiating deadline set by Prime Minister Helen Clark and Chinese Premier Wen Jiabao, Clark will be able to make great play over New Zealand's achievement in being the first Western developed country to finalise a free trade deal with China.

Business - particularly dairy - will clearly get considerable benefit from wider access to the Chinese market and the removal of some behind-the-border barriers.

Clark and Chinese President Hu Jintao will no doubt discuss the negotiations - even glancingly - when they meet up at the East Asia summit in Singapore next week.

The pair had reaffirmed their commitment to conclude a comprehensive, high-quality and balanced agreement at Apec.

There's a lot riding on the talks, both politically and from a business perspective.

But judging by the "information bulletin" published on MFAT's website - several weeks after the 13th and 14 round of talks were concluded - officials are wary of taking the wider public into their confidence.

All the ministry was prepared to give away in its September bulletin was this: "Further progress was made across the negotiations as a whole ... For New Zealand, the key priority in such discussions is to secure high quality rules and commitments which provide for enhanced access and certainty for New Zealanders doing business in China."

Chief China negotiator David Walker emphasises that his team does get down to details in its direct engagement with key sector groups, and organisations like the China Trade Association. And through private talks with particular companies which stand to be affected by the deal.

The Australian Department of Foreign Affairs and Trade (DFAT) takes a more open approach to keeping the Australian public informed about the key issues in its parallel negotiations.

A November 1 update after Australia's 10th negotiating round, spelled out that while differences had been narrowed and useful changes made to the proposed text - "overall progress in the negotiations continued to be slow".

In particular:

* Market access negotiations on goods (including agriculture) remained on hold pending an improved offer from China; China understood that Australia would not move to detailed tariff negotiations until it got a greatly improved offer. But China was unable to say when that would be.

* Australia was still having to emphasise its producers would not be a threat to China's farmers on agricultural products such as wool and sugar (wheat and cotton were discussed in earlier rounds).

* Australia was pushing for various trade impediments to be removed such as the approval of Australian meat export establishments.

* China had agreed - in principle - to Australia's proposal to use change of tariff classification as the principle methodology in the FTA for determining the origin of goods; talks were underway for an e-commerce chapter to the agreement - but China was cautious over Government procurement. It gives preference to domestic suppliers but will open the procurement market to members of the WTO Government Procurement Agreement after it joins next year; intellectual property talks remained on hold (at China's request) until after the next negotiating round.

* It was agreed to explore mutual recognition agreements for engineering, architecture and construction (services) ... and so forth.

New Zealand's negotiations do not cover as wide an ambit as Australia's talks. But there are obvious parallels and negotiators on both sides of the Tasman swap notes on mutually thorny issues.

If the Australian experience is mirrored in the New Zealand talks - our negotiators will have to be careful to avoid being boxed into a corner and agreeing to a lightweight deal simply to score another political "first".

The level of debate within the business sector on the China deal has also been pitiful compared with Australia's.

In its latest newsletter the Australian Services Roundtable details that movement of people is also a major issue. Australian stakeholders are calling for longer visas for Chinese professionals and other measures to open up the Australian labour market to relieve domestic skills shortages. But the Australian negotiators are treating this as highly sensitive. New Zealand business is silent on the issue.

The importance of the DFAT material is to emphasise the paucity of public information to illuminate the internal debate within New Zealand on what is a substantial policy shift.

At a Government House reception to mark the 35th anniversary of China-New Zealand relations this week, Ambassador Zhang Yuanyuan noted the free trade deal would open "new horizons" for local and Chinese business people. He was in no doubt that the FTA would be concluded. Right now the issue is to make sure the benefit is truly mutual.

Advertisement
Advertise with NZME.
Advertisement
Advertise with NZME.
Save

    Share this article

Latest from Economy

Premium
Opinion

Liam Dann: The upside to this painfully slow economic recovery

21 Jun 05:00 PM
Premium
Stock takes

Stock Takes: In play - more firms eyed for takeover as economy remains sluggish

19 Jun 09:00 PM
World

Trump's policies are reshaping global financial dynamics

19 Jun 07:44 PM

Jono and Ben brew up a tea-fuelled adventure in Sri Lanka

sponsored
Advertisement
Advertise with NZME.

Latest from Economy

Premium
Liam Dann: The upside to this painfully slow economic recovery

Liam Dann: The upside to this painfully slow economic recovery

21 Jun 05:00 PM

This recovery is making us sweat, but that might be a good thing in the long run.

Premium
Stock Takes: In play - more firms eyed for takeover as economy remains sluggish

Stock Takes: In play - more firms eyed for takeover as economy remains sluggish

19 Jun 09:00 PM
Trump's policies are reshaping global financial dynamics

Trump's policies are reshaping global financial dynamics

19 Jun 07:44 PM
Premium
Matthew Hooton: Unlucky Luxon’s popularity hits new low

Matthew Hooton: Unlucky Luxon’s popularity hits new low

19 Jun 05:00 PM
Help for those helping hardest-hit
sponsored

Help for those helping hardest-hit

NZ Herald
  • About NZ Herald
  • Meet the journalists
  • Newsletters
  • Classifieds
  • Help & support
  • Contact us
  • House rules
  • Privacy Policy
  • Terms of use
  • Competition terms & conditions
  • Our use of AI
Subscriber Services
  • NZ Herald e-editions
  • Daily puzzles & quizzes
  • Manage your digital subscription
  • Manage your print subscription
  • Subscribe to the NZ Herald newspaper
  • Subscribe to Herald Premium
  • Gift a subscription
  • Subscriber FAQs
  • Subscription terms & conditions
  • Promotions and subscriber benefits
NZME Network
  • The New Zealand Herald
  • The Northland Age
  • The Northern Advocate
  • Waikato Herald
  • Bay of Plenty Times
  • Rotorua Daily Post
  • Hawke's Bay Today
  • Whanganui Chronicle
  • Viva
  • NZ Listener
  • Newstalk ZB
  • BusinessDesk
  • OneRoof
  • Driven Car Guide
  • iHeart Radio
  • Restaurant Hub
NZME
  • About NZME
  • NZME careers
  • Advertise with NZME
  • Digital self-service advertising
  • Book your classified ad
  • Photo sales
  • NZME Events
  • © Copyright 2025 NZME Publishing Limited
TOP