The previous record-holder was Helena Gasson who set the New Zealand record at 58.51 seconds in 2016.
This year, Ouwehand is ranked 14th in the world and fifth fastest in the Commonwealth.
Only two swimmers per country can enter each event at the Olympics - unlike the Commonwealth Games where three can - this means she may be seeded higher at Paris.
Ouwehand is one of six athletes who will make their Olympic debuts after achieving qualification times at the New Zealand Swimming Championships.
They are joined by second-time Olympians, world champions Lewis Clareburt and Erika Fairweather, and Eve Thomas.
“To have nine quality athletes heading to the Games is fantastic,” Swimming New Zealand Olympic programme lead Gary Francis said.
“We’ve got a great mix of experienced campaigners and exciting young talent in this team. We were thrilled with the times these athletes swam at the New Zealand Swimming Championships and we’re expecting some special performances in Paris in a few months time.”
The Paris 2024 swimming competition will be contested from July 27 to August 4 at the Paris La Defense Arena, the largest indoor events venue in Europe.
New Zealand Paris Olympics swimming team:
Erika Fairweather - Women’s 400m Freestyle, 200m Free, 800m Free, Women’s 4x200m Freestyle Relay
Eve Thomas - Women’s 400m Freestyle, 800m Free, 1500m Free, Women’s 4x200m Freestyle Relay
Lewis Clareburt - Men’s 400m Individual Medley, 200m IM, 200m Butterfly
Hazel Ouwehand - Women’s 100m Butterfly
Cameron Gray - Men’s 100m Freestyle
Kane Follows - Men’s 200m Backstroke
Taiko Torepe-Ormsby - Men’s 50m Freestyle
Caitlin Deans - Women’s 4x200m Freestyle Relay
Laticia Leigh Transom - Women’s 4x200m Freestyle Relay