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Tariff contest between China and US may benefit NZ

Author
Newstalk ZB,
Publish Date
Wed, 4 Apr 2018, 5:16am
United States President Donald Trump signs steel tariffs into law. (Photo \ Getty Images)
United States President Donald Trump signs steel tariffs into law. (Photo \ Getty Images)

Tariff contest between China and US may benefit NZ

Author
Newstalk ZB,
Publish Date
Wed, 4 Apr 2018, 5:16am

The tit-for-tat tariff contest between the US and China might benefit New Zealand exporters.

China's announced more than 100 US agricultural products will have tariffs worth up to 25 per cent put on them adding about the same to the overall cost for the Chinese consumer.

Export NZ's executive director Catherine Beard says when those US products become more expensive in China, ours suddenly become cheaper in comparison.

She says there's definitely some concern from exporters worried the situation will escalate and has also raised concern about the US economy turning inward.

Ms Beard says it's driven many countries to more vigorously pursue agreements and embrace free trade leaving the US on the outside.

She says countries that trade with the US are actively looking at how to spread their risk to avoid too much of a blow.

Ms Beard says this might help us nail down a trade deal with the EU, and get closer to one with the Pacific Alliance in Latin America.

But for now, she says some see this as an opportunity to sell more.

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