London Daily

Focus on the big picture.
Sunday, Mar 29, 2026

One of the Five Eyes has blinked over China

One of the Five Eyes has blinked over China

New Zealand has defied the wrath of its Anglosphere allies to sign a big new trade deal with Beijing

China and New Zealand this week completed the ratification of their upgraded free-trade agreement, which will come into force in April. Although the deal was a long time in the works, it expands the number of tariff-free goods New Zealand is able to export into China, securing what is its largest market and a key source of income for its farmers.

The agreement comes despite the growing tensions between Beijing, the United States and its allies, with Washington seeking to put the brakes on China’s expanding economic ties with its allies, in a view towards strategic containment.

This has led to claims that New Zealand, a member of the Five Eyes Anglosphere intelligence alliance involving Australia, Canada, the United Kingdom and the United States, has not been sufficiently ‘loyal’ to their agenda. Jacinda Ardern's more cautious approach towards Beijing, as opposed to the absolutely relentless hostility to China seen in neighboring Australia, has seen her country mocked as ‘New Xi-land.’

So why is New Zealand acting differently to its partners when it comes to Beijing? And will the pressure to get it to take America’s side succeed?

New Zealand, for many reasons, is a country which is fundamentally different from the other Anglosphere nations; its world outlook is more moderate, less elitist and more progressive. While the other three countries, Australia, Canada and the United States, were once British colonies established through the near total, unapologetic destruction of indigenous inhabitants in the name of Anglo-Protestant settler supremacy, New Zealand was established as more of a compromise between the British and the native Māori population. The Maori were not entirely displaced, but instead remained a cultural and political force within the country.

In recent years, Maori culture has in fact been on the ascendency in New Zealand and unlike its Anglophone counterparts, the nation’s broader identity has absorbed it. This means that in foreign relations, New Zealand is less inclined towards the zealous imperialist and supremacist mindset seen in Washington, Canberra, London and Ottawa.

Wellington is considerably more peaceful and less contentious in its outlook, which in turn influences its attitude towards Beijing. As a nation of just five million people which relies significantly on agricultural exports, China’s market of 1.4 billion hungry mouths represents a trade bonanza that is simply not matched anywhere else in the world. Why, in such circumstances, should New Zealand subscribe to an aggressive anti-China agenda?

Yet for all intents and purposes New Zealand does, on paper, effectively take a side as part of the US-led security order in the Pacific, even if it is not considered a leading player or part of concentrated groups such as ‘The Quad’ strategic security grouping of the United States, India, Japan and Australia.

Whilst British and Australian media outlets are quick to accuse Ardern's New Zealand of being subservient to China owing to trade, this is misleading. One may note that New Zealand has banned Huawei from its 5G networks, that it still engages in naval military drills against China in areas such as the South China Sea, still puts its name to anti-China statements pursued at the United Nations and elsewhere, and so on. But, significantly, this is done in a non-aggressive, discrete and non-confrontational way.

It might be said that Wellington ‘follows’ the US agenda in its own moderate way, but does not attempt to lead or put its head above the pack needlessly. For example, New Zealand has somewhat embraced the Xinjiang-focused human rights discourse, but has notably avoided the ‘genocide’ accusation as pushed by the most aggressive Anglosphere politicians. Likewise, when the AUKUS deal to provide nuclear submarines for Australia was declared last year, Ardern announced such subs would be banned from its waters as part of its anti-nuclear stance.

These distinctions remind us that New Zealand’s foreign policy is not ‘pro-China’ as such, but a careful balancing act not to frame itself as an explicit enemy to Beijing in the way Australia has done, a move that resulted in China banning numerous exports from that country throughout 2020 and 2021. New Zealand, were it to follow suit, arguably has far more to lose as a much smaller nation.

Yet this also alludes to the underlying reality: that Wellington is part of an economic order which increasingly revolves around China, albeit while simultaneously being part of the US-led security order. Whilst these conflicting modes of existence have caused more discomfort in Australia, owing to its much stronger sense of Anglophone exceptionalism and historical embrace of ‘yellow peril’ rhetoric, New Zealand seems to be deftly riding out the balance.

The upgraded trade agreement with Beijing illustrates this existence isn’t going to change anytime soon. Wellington is also part of the 15-member Asia-Pacific Regional Comprehensive Economic Partnership that also incorporates China and commenced this year.

While talk of diversification in international trade is often thrown around, this is superficial and easier said than done, for there are no other markets the size of China’s. This is something that the US and some of its closer allies have been unwilling to face: Beijing is and will continue to be the economic heart of an entire region by the realities of size, geography and economics. No amount of denial can change that, however much America wishes it, as set out in its “Indo-Pacific” strategy.

This might mark one final distinction between Wellington and the rest of the Five Eyes states. Whilst the others are in denial, hostile towards a changing world where China is rising, and frantically trying to assemble strategies based on nostalgia or past glories, New Zealand, while still technically on their side, is more pragmatic and realistic about it all. It has not switched allegiances, yet it has few qualms or anxiety or hesitation about integrating and trading with China to its own benefit.

Newsletter

Related Articles

0:00
0:00
Close
Thousands Rally in London to Oppose Rise of Far-Right Movements
Hong Kong Official Rejects Allegations of Surveillance Orders Targeting UK-Based Dissidents
PayPal Expands Cryptocurrency Services to Allow UK Users to Buy and Sell Bitcoin
UK Minister Challenges Reform Party’s ‘Pro-Family’ Agenda as Debate Intensifies
Concerns Grow Over Meningitis Risk Among UK Students Amid Warning Signs of New Outbreaks
Japanese Grand Prix 2026: Schedule, UK Start Times and Full Broadcast Details
Electric Vehicles Seen as Strategic Solution to UK Fuel Reserve Concerns
Rise of Lone-Actor Threats and Online Radicalisation Drives New Wave of Antisemitic Attacks in the UK
Canada Advances Plan to Ban Cryptocurrency Donations in Election Campaigns
UK Faces Looming Medicine Shortages as Iran Conflict Threatens Supply Chains
Deadly Meningitis Outbreak in the U.K. Highlights Urgent Need for Vaccination
Fresh Claims Emerge Over Harry and Meghan’s Australia Visit as Insider Speaks Out
NATO Assessment Indicates UK Defence Spending Has Fallen Below Alliance Average
FTSE 100 Slips as Middle East Tensions Weigh on Investor Sentiment
UK Economy Begins to Feel Early Impact of Iran Conflict as Policy Challenges Intensify
Russian National Jailed in UK After Assault Case Linked to Barron Trump’s Alert
Energy Price Surge Accelerates Shift Away from Fossil Fuels in UK Homes
UK Museums House More Than 260,000 Human Remains, New Report Reveals
Surging UK Gilt Yields Reflect Inflation Pressures and Fiscal Uncertainty
UK Issues Updated Guidance on Children’s Screen Time with Focus on Balance and Wellbeing
UK Migration Figures Show Shifting Trends Across Asylum, Visas and Channel Crossings
UK Watchdog Launches Probe into Five Firms Over Alleged Fake Reviews and Ratings
Jaguar Land Rover Halts Production at UK Plant Amid Supplier Disruption
UK Police Reverse Position, Confirm Arrests Will Resume for Palestine Action Protests
UK Small Businesses Face Europe’s Steepest Cost Pressures, New Survey Reveals
US Envoy Urges UK to Proceed with King’s Visit Amid Diplomatic Sensitivities
FTSE 100 Drops Over One Percent as Middle East Tensions Weigh on Markets
UK CO2 Plant Set to Reopen as Authorities Move to Safeguard Supplies Amid Middle East Tensions
Trump Urges Stronger Defence Investment as He Questions Allied Naval Capabilities
New COVID Variant Detected in UK Raises Concerns Over Vaccine Effectiveness
FTSE Russell Moves to Standardise Free-Float Rules for UK and International Listings
HBO Max Launches in UK and Ireland, Marking Major Step in Global Streaming Expansion
UK Signals Readiness to Seize Russian ‘Shadow Fleet’ Vessels in Escalation of Sanctions Enforcement
Escalating Middle East Conflict Seen as Major Threat to UK Economic Stability
Early Challenges Mark Prince Harry and Meghan’s Australia Visit
UK Government Rejects Cover-Up Claims After Theft of Former PM Aide’s Phone
Cyprus Opens Strategic Talks with UK Over Sovereign Base Areas
UK Faces Risk of Sharp Inflation Surge Despite Stable Pre-Crisis Figures
UK Police Arrest Two Over Suspected Antisemitic Arson as Iran Link Investigated
UK Inflation Holds at Three Percent Ahead of Oil Price Shock from Iran Conflict
UK Fuel Prices Face Upward Pressure as Global Oil Trends Raise Cost Outlook
Girlguiding UK Sets September Deadline for Membership Policy Change Affecting Trans Participants
Germany and UK Accelerate Wind Power Expansion to Strengthen Energy Security
UK Moves to Ban Cryptocurrency Donations to Political Parties Over Foreign Influence Concerns
UK and Turkey Finalise Major Air Defence Agreement Worth Billions
Apple Introduces Mandatory Age Verification for iPhone Users in the UK
Diverging Views Emerge Over Meghan Markle’s Planned Australia Appearance
Trump Signals Frustration with UK Leadership Amid Diverging Approaches to Iran Conflict
UK Government Takes Control of Hunterston B as Landmark Nuclear Decommissioning Begins
UK Public Inflation Expectations Jump Sharply in March, Raising Pressure on Bank of England
×