EU – New Zealand Trade Agreement Enters into Force
This could save 140 million in duties each year and increase trade by 30%
The trade agreement between the European Union and New Zealand is in force. Thanks to the new possibilities, the European Commission explains, European companies will be able to save 140 million euros annually on duties. Forecasts foresee trade growth of 30% over the decade, with EU exports potentially increasing to €4.5 billion each year, while European investment in New Zealand could rise by up to 80%.
European Community farmers will benefit from the elimination of duties on pork, wine and sparkling wines, chocolate, sweets, and cookies. The agreement also includes protection for 2000 categories of EU wines and spirits, such as Prosecco and Champagne, as well as 163 traditional EU products with geographical indications.
Negotiations began in 2018 and ended in 2022 with an agreement between EU Commission President Ursula von der Leyen and New Zealand’s then Prime Minister Jacinda Ardern. The signing took place in July 2023.
The agreement provides for zero tariffs on EU exports to New Zealand, the opening of New Zealand’s financial services, telecommunications, shipping traffic and markets, non-discriminatory treatment of EU investors in New Zealand, and improved access for EU businesses to New Zealand government procurement.