Peter Lewis: Asia Business Correspondent on China's NZ visit

New Zealanders could soon find it easier to travel to China after yesterday's bilateral meeting between Christopher Luxon and Li Qiang. 

It was the first meeting of a New Zealand Prime Minister and Chinese Premier on New Zealand soil since 2017. 

Li Qiang has agreed to extend China's unilateral visa-free treatment to New Zealand, following similar agreements with other countries, and says his country also stands ready to offer infrastructure funding. 

Asia Business Correspondent Peter Lewis told Heather du Plessis Allan “The Chinese state media is focusing on the trade aspects – this is being presented as a trade visit.” 

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Episode Transcript

Speaker 1 (00:00):
Hither du for c Allen.

Speaker 2 (00:01):
Peter Lewis Asia Business correspondent with US Now Peter, Hello,
Hello Hea, Peter. Let me tell you we are fizzling
in New Zealand for the Chinese premiere being here. Are
the Chinese media fizzing as much as we are?

Speaker 3 (00:13):
Well, I don't know if they're fizzing as much as
you are, but they're certainly covering it. They see this
as being an important visit and happening at a pretty
crucial time as well. The Chinese state media is focusing
on two things. First of all, on the trade aspects.
This has been very much presented as a trade visit,

(00:35):
and also they're making great player of the friendship between
the two countries. Between New Zealand and China. The Premier
League is basically saying, look, we've been friends for a
long time. There may have been some disagreements, but we
shouldn't let that become a chasm, he said, And we
shouldn't let that block exchanges and cooperation between us. So

(00:57):
that's very much the angle that the media tier is
taking on it. I think mister Luson is going to
New Zealand with a bit of a message for you.
He is of course focusing on the trade opportunities, but
I think China is also concerned about, first of all,
New Zealand taking a stronger role in the Five Eyes Alliance.

(01:20):
I mean, New Zealand has traditionally not been too critical
of China in the past, but China's senses that that
might be changing under this new government. And it's also
concerned about the fact that New Zealand is developing alliances
with other countries in the region. Philippines in particular stands
out as being an area of concern because China has

(01:42):
territorial disputes with the Philippines. So I think the message
that Premierly is giving is, look, there are all these
trade opportunities. We are a huge market for your biggest
trading partner. Focus on that and don't focus so much
on the politics where we're disagreeing, because if you do,

(02:02):
you may find that you don't see so many of
those trade opportunities in the future.

Speaker 1 (02:07):
So I think that's the message has gone to New Zealand.

Speaker 2 (02:11):
With hey, speaking of the Philippines, I mean, these guys
getting reasonably assertive with China.

Speaker 1 (02:15):
What's brought this on, Well, the.

Speaker 3 (02:18):
Change of governments basically under Dutasi before they were he
got very close to President g Gping and to China.
The change of governments has taken a totally different stance
on this, which is that the Philippines is not prepared
to be bullied, It's not prepared to be pushed around.

Speaker 1 (02:38):
But also it sees the territory that China.

Speaker 3 (02:41):
Is claiming as its own as being absolutely essential to
the philippines survival. They see it as a described this
as an existential threat because these are these waters, contain minerals, a.

Speaker 1 (02:56):
Lot of shipping goes through them.

Speaker 3 (02:57):
It's absolutely essential to the Philippine's economy and to the
philippines future. So they are taking the view that, you know,
we just simply can't afford to let China walk in
and claim what they say is right theirs. And they
refer to the two thousand and sixty Court of Arbitration
which ruled against China's claim in the South China Sea

(03:21):
and they said that there's simply no basis for what
China is claiming. But China rejects that and it has
ignored it so far since.

Speaker 2 (03:31):
Hey, what do you make of the fact that Germany
and Sweden and Hungary have all broken ranks with the
EU on those tariffs.

Speaker 3 (03:39):
Well, this is very critical in particular for Germany because
you know Germany also its sports actually cars from China.
Some of the cars that manufactures are exported from China.
It's a critical industry to Germany. And they see this
as just going to end up in a trade war

(04:00):
which is going to damage everyone. They don't see them
benefiting from this and winning from this at all, and
they see that what China will do make sanctions of
their own, which is just only going to make everyone
else worse off. Now the manufacturers that the two countries
that are most supporting these sections are France and Spain,

(04:22):
and that's because they don't have their own competitive electric
people industry that can really compete with China. The one
country in Europe that probably can come closest to it
is Germany. So that's why there's this big difference at
the moment. And I think what we will find is
when China decides how it's going to retaliate, it's going
to find ways in which it will retaliate most against

(04:45):
France and Spain. So things like pork, for example, where
Spain exports a lot of pork to China, things like
cognac and Dreeks where France is a big exporter, and
they will try to avoid the things that are going
to damage Jeminy, which they see has been maybe its
ally in.

Speaker 2 (05:02):
This fascinating stuff by Peter. Thank you as always, really
appreciate it. Well ever, chat to you again next week.
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