New Zealand National Party Pledges Seven New Trade Talks if Re-elected

New Zealand's governing National Party said it would launch negotiations for seven new free trade agreements within five years if re-elected in November, Trade Minister Todd McClay said, targeting markets the government has identified as long-term opportunities for export growth.

Fundamental Drivers

Initial talks would focus on Brazil, Switzerland, Argentina, Bangladesh, Nigeria, Uruguay, and the European Free Trade Association (EFTA), which includes Iceland, Liechtenstein, Norway and Switzerland. These markets currently account for around NZ$1.8 billion (about US$1 billion) of New Zealand's exports, with the government identifying opportunities for further export growth.

Beyond the initial five-year period, Wellington said it intends to pursue negotiations with additional partners, including South Africa, Türkiye and Sri Lanka, over the following decade.

The proposal builds on the government's efforts to diversify export markets beyond its traditional trading partners. New Zealand finalized a free trade agreement with India in April, which the government said is expected to support agricultural exports, following its trade agreement with the European Union that took effect in 2024.

Government data released last month showed the European Union had overtaken Australia as New Zealand's third-largest destination for primary exports, reflecting changing trade patterns.

The announcement comes ahead of New Zealand's 7 November general election, where trade policy is likely to remain a prominent campaign issue. The National Party, which currently governs in coalition, has faced political pressure after a recent opinion poll showed support at its lowest level since 2021.

What's Next

Markets will watch how trade policy develops during the election campaign, along with any further details on the proposed negotiations if the National Party is returned to government.