Bilateral trade between New Zealand and the United Arab Emirates saw a sharp rise in late 2024, reaching nearly $240 million in the final quarter alone and pushing the total annual trade volume to $762 million.

Speaking to the Emirates News Agency (WAM) on the sidelines of the AIM Congress 2025 in Abu Dhabi, New Zealand’s Minister for Trade, Todd McClay, highlighted the growing momentum in economic ties. He credited the surge to the shared vision of both governments and their continued commitment to deepening trade and investment cooperation.

The services sector played a central role in driving this growth, expanding by an impressive 60%—a clear sign of the deepening and diversifying economic ties between the two countries.

Minister McClay also noted that direct investments from the UAE into New Zealand exceeded $119 million in 2024, targeting key areas such as food, infrastructure, and other high-value industries.

Currently, around 20 New Zealand companies maintain an active presence in the UAE market. Minister McClay noted ongoing discussions with several UAE companies interested in establishing offices in New Zealand.

He highlighted the country’s attractive investment environment, supported by key bilateral agreements, including a double taxation avoidance agreement that offers preferential tax treatment to UAE sovereign wealth funds.

McClay also emphasized that existing investment agreements—particularly the Comprehensive Economic Partnership Agreement (CEPA)—are opening up new opportunities in sectors such as infrastructure and energy. Signed earlier this year, the CEPA marked a major milestone in UAE–New Zealand economic relations, aimed at boosting trade and attracting fresh investment.

The agreement came as non-oil trade between the two countries reached $642 million in the first nine months of 2024. Under the CEPA, New Zealand will offer full duty-free access to UAE imports, while the UAE will grant duty-free access to 98.5% of New Zealand products, increasing to 99% within three years.

The deal is expected to boost bilateral trade to $5 billion by 2032—tripling the average recorded between 2019 and 2023. It also marks New Zealand’s first trade agreement with a Middle Eastern country.

Looking ahead, Minister McClay highlighted New Zealand’s ambitious infrastructure development plan, which includes extensive road network expansion and large-scale projects. He noted these initiatives present strong opportunities for UAE sovereign wealth funds and companies seeking long-term investments in construction, management, and operations.

He added that New Zealand is also actively encouraging investment in its growing renewable energy sector—including wind, solar, and geothermal—as well as in processing industries, agri-tech, artificial intelligence, pharmaceuticals, and data centers.