Trade talks with Hong Kong resume

Trade Minister Tim Groser today welcomed the resumption of trade talks with Hong Kong which are taking place in Wellington this week, saying he was hopeful negotiators would be able to take positive steps forward.

"Resumption of negotiations towards a Closer Economic Partnership (CEP) with Hong Kong enables us to look at taking relations to a new level and will provide a valuable platform to stimulate growth in our trading relationship.

"Prime Minister John Key's recent meeting at the Boao Forum with Hong Kong Chief Executive Donald Tsang, has highlighted the strength of the relationship. Prime Minister Key reinforced our commitment to raising the profile of New Zealand business in Hong Kong and capitalising on new opportunities," Mr Groser said.

New Zealand and Hong Kong originally commenced CEP negotiations in 2001 but, after five rounds of talks, the negotiations were suspended in 2002. With the conclusion of the New Zealand - China Free Trade Agreement, the way has been cleared to resume discussions.

"Hong Kong is a very important partner for New Zealand - both commercially and strategically as a key services and investment hub for the North Asia region. Hong Kong is the world's 12th largest trading economy. It is also the second largest source of Foreign Direct Investment (FDI) in Asia.

"More secure and open access to the Hong Kong market will place New Zealand in a good strategic position to capitalise on new trade and investment opportunities in this region, including into China.

"At this critical phase in world financial events, re-engaging with Hong Kong in these trade talks sends out a very positive signal to the region and underlines the value that both parties attach to genuine liberalisation. Our message to the global economy is that New Zealand remains open for business," Mr Groser said.