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New Zealand Prime Minister Christopher Luxon announced plans to speak with global leaders to rally support for rules-based free trade, following a wave of tariffs imposed by U.S. President Donald Trump. In a speech to the Wellington Chamber of Commerce, Luxon emphasized the need for cooperation among nations like those in the European Union and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) to uphold open trade practices.
Luxon did not specify which leaders he would call, but stressed that the conversations would help align strategies to protect global trade stability. He pointed to a potential alliance between CPTPP countries—which include Australia, Canada, Chile, Japan, Mexico, Singapore, and the UK—and the EU as a way to champion free trade and reinforce economic cooperation.
The global trade environment has been rattled by President Trump's recent sweeping tariffs on dozens of countries, including a 10% tariff on New Zealand. While many nations responded with retaliatory measures, Wellington has chosen not to respond in kind. Around 12% of New Zealand's exports currently go to the U.S.
Trump's tariffs initially sparked major market volatility, but in a surprising move, he announced a temporary suspension of the new levies. Luxon underscored that New Zealand cannot remain passive and must actively advocate for its economic interests and global trade institutions.
The Prime Minister also revealed plans to visit the UK later this month to meet with Prime Minister Keir Starmer, with trade, security, and geopolitical issues on the agenda.
By strengthening international alliances and pushing for a stable, rules-based trade system, Luxon aims to safeguard New Zealand’s economy and maintain global market confidence.
