Our work with APEC
APEC promotes trade and economic growth in the Asia-Pacific region. It gives us an equal voice with some of the world’s biggest economies on how to promote economic development in our region.
The focus of APEC’s work is connecting and integrating economies within the region so it is easier to do business within and between them. It does this by providing a forum for Leaders, Ministers and officials to meet, share experiences, and develop best practices and shared norms for trade and economic policy.
APEC helps businesses by making the rules around exporting easier. This translates into APEC helping Asia-Pacific economies to prosper, supporting New Zealand companies to grow their trade, and in turn creating jobs for New Zealanders.
It’s important to be connected
As New Zealanders, we know that being connected to the world and to the Asia-Pacific in particular really matters to our economic and social well-being.
The Asia-Pacific’s strong economic growth and increased demand for New Zealand products makes those links vital. For New Zealand to achieve its ambitions, it needs to have a common vision, language and understanding with other Asia-Pacific economies. We can only achieve if we are achieving alongside each other.
Importantly APEC represents 71% of NZ’s two-way trade. In 2019, 73% of our total exports went to APEC members, while 70% of our imports came from those economies.
Fourteen of our top 20 export markets are APEC members, including the three largest economies in the world - the United States, China and Japan. [Source: stats.govt.nz, goods and services trade by country, YE March 2019]
18 of our 19 free trade agreements are with APEC partners.
Increasingly, New Zealanders are working overseas in either the wider Asia-Pacific region or in APEC economies, while many of the skilled workers required to keep our economy growing also come from the region.
The Asia-Pacific is New Zealand’s place. Its economies, environments, cultures and communities are connected and what happens in our region affects us all. It is this we must take care of in a fierce spirit of guardianship – Kaitiakitanga.
We can have our say
APEC is the primary forum New Zealand has for close economic integration across the region. It is a forum through which we can resist protectionism and reduce trade friction, not just in the Asia-Pacific but in the world at large.
We can use it to promote economic policies in APEC economies which benefit our people and our businesses.
We’re a founding APEC member
APEC was established in the late 1980s at a time of dawning realisation of Asia’s importance to New Zealand. At that time we were in the early stages of learning how to do business with Asia – New Zealand had few business connections and limited understanding of the opportunities and challenges involved.
New Zealand’s membership of APEC has helped us learn the language of Asia. This was a language that developed over time through the way economies came together regularly, building trusted relationships, to approach common trade challenges. In today’s difficult times, we know that being connected to the world and to the Asia-Pacific in particular really matters to our people and our businesses.
APEC gives us an equal voice
APEC gives us an equal voice with some of the biggest economies in the world on how to promote economic development in the Asia-Pacific region.
Leaders’ Week allows New Zealand’s political and business leaders to engage directly with global leaders and ministers on an equal footing. Throughout each year, APEC also gives New Zealand the opportunity to meet with key regional leaders, Ministers and senior officials to register a New Zealand view – an opportunity we would not otherwise have.
This is particularly valuable to New Zealand with its small and diversifying economy that is distant from its major markets.
APEC has improved competition policy law for every member economy. There is now a common understanding of trade liberalisation. New Zealand has worked hard on developing what ‘good’ looks like in free trade with APEC and the strong functioning of markets.
New Zealand was the first chair of APEC's Economics Committee, a vehicle for border and domestic policy integration, and has chaired regularly since. We are the most recent chair of APEC's Committee on Trade and Investment, which has a central role in supporting regional economic integration and trade and investment liberalisation across the region. And a New Zealander, Allan Bollard, became the first dedicated chair of APEC and then its Executive Director until 2018. In this role he continued to support the professionalisation of the Secretariat.
APEC stands for Asia-Pacific Economic Cooperation. Members are referred to as "member economies" because not all members are states, and because the APEC process is mainly concerned with trade and economic issues.
Who belongs to APEC
APEC is made up of 21 Pacific Rim members: Australia, Brunei Darussalam, Canada, Chile, China, Hong Kong China, Indonesia, Japan, Korea, Malaysia, Mexico, New Zealand, Papua New Guinea, Peru, the Philippines, Russia, Singapore, Chinese Taipei, Thailand, the United States and Viet Nam.
New Zealand was a founding member of APEC when it began in 1989, with only 12 members.
APEC and New Zealand
New Zealand will be chairing APEC in 2021, at a crucial time as the region works to recover from the impact of COVID-19. Responding to the pandemic has underlined the critical importance of New Zealand's trading networks and relationships.
As a regional body focused on trade, APEC is uniquely positioned to respond to the economic and health impacts of COVID-19 by supporting the trade of needed health products and services, and supporting each economy's longer term economic response.
In 2021, APEC will be defining its longer-term goals for sustainable economic growth. New Zealand will play an important role in leading these discussions.
This is our chance to take a leadership role on the future of sustainable, inclusive economic growth.
New Zealand last hosted APEC in 1999. During that time, New Zealand:
- hosted three state visits
- launched the Closer Economic Partnership negotiations with Singapore, which ultimately led to CPTPP in 2018
- worked to maintain momentum for new ambition in the World Trade Organisation
- agreed to eliminate non-tariff impediments.
New Zealand was hosting APEC Leaders Week in 1999 when the violence erupted in Timor L’Este, which led to its independence. APEC leaders and foreign ministers used the opportunity of all being in the same city to respond collaboratively to the carnage in its neighbourhood.