Due to the distant locations of NZ and Asia, Asia has been historically referred to as the “far East.” NZ holds similar views to Britain regarding much of the relations with Asia. A significant point that has halted some opportunities and negotiations with Asia is the fact that there is minimal NZ representation in Asia. The relationship that is now significantly important to NZ was originally that of alliances and security arrangements, in the 1950’s and 1960’s, however now the pivotal factor is trade.
“I believe that personal contacts between New Zealanders and people from Asia are just as important as the formal relationship”
- Winston Peters
In the early-mid twentieth century, Britain was the guaranteed market for almost all of New Zealand's commodities, at one stage taking more than 90 percent of New Zealand's exports. This in turn meant NZ had only to rely on Britain and no one else. However, this took a dramatic shift after Britain joined the European Community in 1973, this in turn meant a need for NZ to diversify. The shocks meant that in 1970 Britain took 36 percent of New Zealand's exports, which dropped to 14 percent in 1980. NZ was suddenly exposed to the rest of the world which initiated NZ’s integration with the rest of the world. It was at this point that New Zealand began to pay special attention to Asia, especially Japan and other East Asian countries. However, NZ didn’t want to merely replace Britain's role with another single country; neither Japan nor the United States was willing to be a guaranteed market for New Zealand in the way that Britain was.
During the 1980s, Britain's role in New Zealand's overseas trade dropped even further, so that in 1985 it imported only 9% of New Zealand's exports, causing Britain to drop to New Zealand's fourth largest market, after Australia, Japan, and the United States. Simultaneously, New Zealand's exports to East Asia (especially Japan and Korea) were increasing rapidly. New Zealand's exports to Britain dropped to only 6 or 7% in the 1990s, while Japan came to take between 15 and 18% of New Zealand's exports from 1985 onward. Japan has been New Zealand's second largest export market since 1970. The most common imports by the Japanese are meat, aluminum, wool, dairy products, and forestry products.
Over the last 10 years, the South Korean market has grown substantially to become New Zealand's fifth largest market. New Zealand's exports to Korea increased from only NZ$1.6 million in 1970 to more than a billion New Zealand dollars in 1996, which it made up for slightly over 5% of New Zealand's exports. These exports were of mainly meat, wool, deer velvet, and forest products.
Over the last 10 years, the South Korean market has grown substantially to become New Zealand's fifth largest market. New Zealand's exports to Korea increased from only NZ$1.6 million in 1970 to more than a billion New Zealand dollars in 1996, which it made up for slightly over 5% of New Zealand's exports. These exports were of mainly meat, wool, deer velvet, and forest products.
“It is critical that New Zealand remains attuned to, and plays an active role in, the trends and developments in this vibrant region”
- Winston Peters
During the 1980s, Britain's role in New Zealand's overseas trade dropped even further, so that in 1985 it imported only 9% of New Zealand's exports, causing Britain to drop to New Zealand's fourth largest market, after Australia, Japan, and the United States. Simultaneously, New Zealand's exports to East Asia (especially Japan and Korea) were increasing rapidly. New Zealand's exports to Britain dropped to only 6 or 7% in the 1990s, while Japan came to take between 15 and 18% of New Zealand's exports from 1985 onward. Japan has been New Zealand's second largest export market since 1970. The most common imports by the Japanese are meat, aluminum, wool, dairy products, and forestry products.
Over the last 10 years, the South Korean market has grown substantially to become New Zealand's fifth largest market. New Zealand's exports to Korea increased from only NZ$1.6 million in 1970 to more than a billion New Zealand dollars in 1996, which it made up for slightly over 5% of New Zealand's exports. These exports were of mainly meat, wool, deer velvet, and forest products.
Over the last 10 years, the South Korean market has grown substantially to become New Zealand's fifth largest market. New Zealand's exports to Korea increased from only NZ$1.6 million in 1970 to more than a billion New Zealand dollars in 1996, which it made up for slightly over 5% of New Zealand's exports. These exports were of mainly meat, wool, deer velvet, and forest products.
China became New Zealand's sixth largest market in 1998–1999, importing NZ$625 million in goods. Closely behind China were Hong Kong (NZ$602 million) and Taiwan (NZ$580 million), which were New Zealand's eighth- and ninth-largest export markets in 1998–1999. All together, about 30% of New Zealand's exports are currently utilized by the East Asian market.
In return, New Zealand imports mostly manufactured goods from these East Asian countries. From Japan and Korea, cars and electronic goods are among the main import items, while electronic goods and computers are imported from Taiwan and Hong Kong and various manufactured goods, including textiles and toys, are imported from China.
The main trading countries from Southeast Asia, which makes up about 8% of the market for New Zealand's exports, are Malaysia and Singapore. New Zealand's trade relationships with the remaining parts of Asia are only modest.
In return, New Zealand imports mostly manufactured goods from these East Asian countries. From Japan and Korea, cars and electronic goods are among the main import items, while electronic goods and computers are imported from Taiwan and Hong Kong and various manufactured goods, including textiles and toys, are imported from China.
The main trading countries from Southeast Asia, which makes up about 8% of the market for New Zealand's exports, are Malaysia and Singapore. New Zealand's trade relationships with the remaining parts of Asia are only modest.
Tourism is also a great component of the NZ Asia relationship. It is also an area in which the NZ Ministry of Foreign Affairs and Trade is expected to grow. The table illustrates the top 10 Asian countries and the visitor numbers to NZ.
China, as shown above is the country that has the most visitors to NZ, and NZ MFAT predicts that by 2013 Chinese visitors to NZ will reach and epic 258,570. The 1990’s demonstrated a rapid increase in Chinese visitors, and this is largely facilitated by the attraction of NZ and the governmental schemes which contribute to this. An example under the previous NZ Labour government was that of the NZ 100% Pure campaign.
New Zealand and Asia