China is a huge market, wants many NZ products and will pay for it. Photo / Supplied
Kiwi companies appear to be adopting a "China and ... " approach to our biggest trading partner — not diversifying trade away from China, but seeking to maintain their Chinese footprint and business links while also growing into other markets.
"It's pretty obvious to say you should diversify your risk
to China but actually it's not that easy for some businesses," said an independent director. "We operate in markets globally that have various trade barriers — so it's not a case of simply supplying customers elsewhere. Building new markets takes time and the inability of key executives to travel to develop new markets with Covid has a negative impact on progress in developing relationships. China is a huge market, wants many NZ products and will pay for it.
Those of us doing business there are not blind to the risks. Mitigating them is not so easy for the reasons explained.
"It is important that our politicians recognise the positive impact China has on the NZ economy and finds ways to communicate humanitarian concerns in private without the loudhailer. Loud-hailer politics will achieve nothing with China, exposes our economy and might simply be playing to local politics and media over what is in the national interest."