Updated May 2, 2017
New Zealand
The United States and New Zealand work together closely
New Zealand at a Glance
in bilateral, regional, and global contexts to address
common interests in the areas of defense, foreign affairs,
Government: A constitutional monarchy with approximately
and trade. Bilateral and multilateral military-to-military
120-seat unicameral parliament. Members are elected by popular
exercises involving the two countries, such as the 23
vote in single member constituencies, including seven Maori
nation RIMPAC naval exercise, have increased in number
seats, with additional proportional seats selected from party lists.
since the signing of the Wellington Declaration of 2010
Terms of office are three years.
and the Washington Declaration of 2012. These
Head of State: Queen Elizabeth II represented by Governor
declarations marked turning points in bilateral relations
General Lt. Gen. Sir Jerry Matepare
after differences over nuclear policy in the 1980s
Head of Government: Prime Minister Bill English
prompted the United States to suspend its alliance
commitments to New Zealand (see below). The renewed
Natural resources: natural gas, iron ore, sand, coal, timber,
strength of the bilateral relationship was also demonstrated
hydropower, gold, limestone
by the November 2016 visit of the USS Sampson, the first
Natural hazards: earthquakes
U.S. warship visit to New Zealand in more than 30 years.
Terrain: Mountainous and plains [41% pasture, 31% forest].
This strengthening of the relationship has been building
since New Zealand’s commitment of military forces to
Area: 270,000 sq. km., or about the size of Colorado
Afghanistan in 2003. In the view of many observers, this
Capital: Wellington
return to close cooperation puts to rest past differences
Population: 4.5 million with 0.8% growth rate (2016)
over nuclear policy.
Literacy: 99% with education expenditure 7.4% of GDP (2014)
Background
Life expectancy at birth: 81.2 years (2016)
New Zealand and the United States have common
Ethnic groups: European 71%, Maori 14%, Asian 11%, Pacific
historical roots as settler societies of the British Empire.
Islander 8% (2013) [could identify with more than one group]
New Zealand, also known to New Zealanders as Aotearoa
Livestock: Sheep 31.2 mill, cattle 10.2 mill, deer 1 mill (2012)
or “the land of the long white cloud,” was first settled by
Export Commodities: Dairy products, meat, wood and wood
the Polynesian-Maori people around the tenth century.
products, fruit, oil, wine.
Dutch navigator Abel Tasman discovered the western
coast of New Zealand in 1642, but it was English Captain
Major Export Markets: China 19.4%, Australia 17.1%, U.S.
James Cook who, over three expeditions in 1769, 1773,
11%, Japan 6.2%. (2016)
and 1777, circumnavigated and mapped the islands. The
Per Capita GDP: $39,605 ppp (2017 est.)
1840 Treaty of Waitangi, between the British Crown and
GDP/ Sector: Ag. 4.2%, industry 26.5%, services 69.2% (2016)
indigenous Maori Chiefs, serves as the basis for relations
GDP growth: 3% est. (2017 est.)
between the Maori and European communities. The
British Monarch, Queen Elizabeth II, is the constitutional
Labor force: Agriculture 7%, industry 19%, services 74% (2016)
head of state of New Zealand. Her representative, the
Sources: CIA Factbook, Economist Intelligence Unit, media.
Governor General, acts on the advice of the New Zealand
Prime Minister’s Cabinet. In 1893, New Zealand gave all
political parties in New Zealand. The National Party holds
women the right to vote. New Zealand attained Dominion
59 of 121 seats in parliament. English became Prime
Status in 1907 and gained full political independence from
Minister and Leader of the National Party after former
Britain under the Statute of Westminster Adoption Act of
National Party Prime Minister John Key resigned in
1947.
December 2016. The National Government has the support
of the Maori Party with two seats, the United Future Party
with one seat, and the ACT New Zealand Party with one
Politics and Elections
seat. The next election is to be held on September 23, 2017.
New Zealand is a unicameral, mixed-member-proportional
The Labour Party and the Green Party signed a
(MMP), parliamentary democracy. MMP was introduced in
memorandum of understanding in May 2016 to collaborate
New Zealand in 1996. Under MMP, Members of
more closely in the lead-up to the election. Observers have
Parliament come from both single-member electorates and
noted that the New Zealand First Party, headed by Winston
from party lists leading to a parliament where a party’s
Peters, currently with 12 seats in parliament, may play a
share of the seats roughly mirrors its share of the overall
key role in forming the next government.
party vote. New Zealand does not have a state or provincial
level of government. The center-right National Party, led by
Defense and Foreign Policy
Prime Minister Bill English, and the opposition center-left
In part because New Zealand is a small nation, New
Labour Party, led by Andrew Little, are the two main
Zealand officials place much emphasis on multilateral
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New Zealand
processes and institutions. They also place emphasis on
Pacific. It played a key role in promoting security in Timor-
developing trade ties, particularly with China, and regional
Leste, Bougainville, New Guinea, and the Solomon Islands.
economic architectures. Australia and the United States
New Zealand is working with Australia and other nations in
figure prominently in New Zealand’s national security
the South Pacific on the Pacific Agreement on Closer
affairs. New Zealand’s commitment of regular troops and
Economic Relations–Plus. New Zealand’s aid program is
other assistance in support of the Provincial Reconstruction
investing ND $1 billion in the Pacific region over the period
Team in Bamiyan Province, Afghanistan, in 2003
2015-2016 to 2017-2018. New Zealand also provides
demonstrated, according to some observers, New Zealand’s
disaster assistance to the region as it did to Fiji following
value not only in political and diplomatic terms but also as
the February 2016 Cyclone Winston. New Zealand supports
a military partner in the field. New Zealand continues to
the Pacific Island’s Forum and sustainable economic
demonstrate such support through its ongoing deployment
development, including for sustainable fisheries in the
of military trainers in Iraq. New Zealand troops, working
South Pacific. New Zealand has protested Japan’s decision
alongside Australian troops, have trained approximately
to resume whaling in the Southern Ocean, and has set aside
21,000 Iraqi security forces.
15% of New Zealand’s Exclusive Economic Zone for the
Kermadec Ocean Sanctuary. Former Prime Minister John
Bilateral Relations with the United
Key pledged New Zealand’s support for the Global
States
Research Alliance on Agricultural Greenhouse Gases at the
The gradual return of close security cooperation between
December 2015 U.N. Climate Change Conference in Paris.
the United States and New Zealand since 2003 has helped
At that time, Key also pledged that New Zealand would
forge a new security partnership between the two countries.
strengthen its target of reducing greenhouse gas emissions
The two nations have fought together in many wars and
to 30% below 2005 levels. Former Labour Prime Minister
conflicts and established the Australia-New Zealand-United
Helen Clark set a goal while Prime Minster in 2007 for
States (ANZUS) alliance in 1951. During the mid-1980s the
New Zealand to become “truly sustainable.”
United States suspended its alliance commitments to New
Zealand as a result of differences over nuclear policy,
Trade
stemming from New Zealand legislation that made it
New Zealand’s economy is to a large extent dependent on
nuclear free and the United States’ policy of neither
primary commodities for export. New Zealand’s exports
confirming nor denying the presence of nuclear weapons on
include dairy, meat, forestry, wool, and fruit. New
U.S. Navy ships. The Wellington Declaration of 2010 was a
Zealand’s key export partners are China (20.1%), Australia
key turning point in United States-New Zealand relations.
(11.9%), the United States (11.6%), and Japan (7.1%).
After 2010, the United States and New Zealand agreed to
Major U.S. imports from New Zealand include beef, wine,
emphasize common interests and values, including the
dairy products, and lamb and mutton. Major U.S. exports to
importance of democracy, human rights, and the rule of
New Zealand include civilian aircraft, refined petroleum,
law, rather than let differences over nuclear policy define
autos, and auto parts. New Zealand does not have an
the relationship. The Wellington Declaration established in
existing FTA with the United States. New Zealand joined
a public way a new strategic partnership. It stated that “our
with other Trans Pacific Partnership (TPP) Agreement
shared democratic values and common interests” will guide
members in an effort to move forward with TPP without the
the two nations’ collective action. The agreement pointed to
United States in the aftermath of President Trump’s
the need to address regional and global challenges including
decision to withdraw the United States from the TPP.
enhanced dialogue on regional security, practical
cooperation in the Pacific, Foreign Ministers meetings,
Relations with China
political-military discussions, and cooperation on climate
Trade is at the core of New Zealand’s relationship with
change, nuclear proliferation, and international extremism.
China. New Zealand’s goods exports to China quadrupled
The 2012 Washington Declaration on Defense Cooperation
since the signing of a bilateral Free Trade Agreement
further opened the way for enhanced strategic dialogue and
between the two countries in 2008. New Zealand and China
defense cooperation. This positive momentum has been
are now undertaking an upgrade of their FTA agreement.
sustained by subsequent developments.
Chinese Premier Li Keqiang visited New Zealand in March
2017 reportedly to discuss strengthening trade through the
Regional Relations
FTA upgrade and the One Belt, One Road (OBOR)
New Zealand enjoys very close relations with Australia, its
initiative. On March 27, 2017, New Zealand signed a
neighbor across the Tasman Sea. These trans-Tasman ties
memorandum of understanding with China on China’s
are based in the two nations’ common origin as British
OBOR initiative. In 2015, New Zealand became a founding
colonies. These ties were strengthened as the two nations
member of the China-led Asia Infrastructure Investment
fought together in the Australian New Zealand Army Corp
Bank (AIIB). With the implementation of the TPP in doubt,
(ANZAC) in places like Gallipoli in World War I. This
New Zealand’s trade interests may be increasingly focused
relationship evolved into what is known as the ANZAC
on the China-backed Regional Comprehensive Economic
spirit of close defense cooperation. The close economic,
Partnership (RCEP).
people-to-people, and cultural ties, as well as a shared love
of rugby, cricket, and other sport, further reinforce bilateral
Bruce Vaughn, Specialist in Asian Affairs
relations between these two states.
Ian F. Fergusson, Specialist in International Trade and
Finance
New Zealand has played a key role in promoting peace,
stability, development, and the environment in the South
IF10389
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New Zealand


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