The Philippines, Vietnam, Malaysia, Taiwan and Brunei all have claims to parts of the South China Seas which is largely claimed by China.
An international tribunal ruled against China in July this year after the Philippines took a case under the United Nations Convention on the Law of the Sea.
China has undertaken massive reclamation in the area and built an military-grade airstrip on one artificial island.
In his speech Brownlee made reference to the reclamation saying it had heightened tensions. And he said the ruling should be used as a basis for the parties to work together.
"New Zealand's position on the South China Sea disputes - and on the recent Arbitration Tribunal ruling - has been consistent," Brownlee said.
"We do not take a position on the various claims in the South China Sea.
"However, we have a direct interest in how tensions are managed, given the importance of the area for regional stability and economic security," he said.
We do not see our defence relationships with the United States and China as mutually exclusive, and are committed to working with both parties, and with others in the region, to achieve peace and prosperity in the Asia-Pacific
"We oppose actions that undermine peace and erode trust, and would like to see all parties actively take steps to reduce tensions.
"As a small maritime trading nation, international law - and in particular the United Nations Convention on the Law of the Sea - is vitally important for New Zealand.
"New Zealand supports the right of states to access dispute settlement mechanisms in managing complex issues.
"We also support their right to have the outcomes of such processes respected.
"With the arbitral process now concluded, we hope that the parties can use it as a basis to work together to resolve their disputes."
Brownlee said New Zealand and China had a very close relationship and that New Zealand consistently "welcomed the rise of a prosperous, peaceful China on the world stage."
New Zealand's small size meant that a widespread commitment to a rule-based international order was particularly important.
"We do not see our defence relationships with the United States and China as mutually exclusive, and are committed to working with both parties, and with others in the region, to achieve peace and prosperity in the Asia-Pacific."