An overview of an Australian flag is seen outside the Great Hall of the People on April 9, 2013 in Beijing, China.
Feng Li | Getty Images
SINGAPORE – Nationalism is not the way to go in diplomatic relations, New Zealand’s trade minister told CNBC while calling for more trade and multilateral ties around the world.
In fact, the world needs to build its “general security,” especially now during the Covid-19 pandemic, Damien O’Connor told “Squawk Box Asia” on Wednesday as part of CNBC’s agenda coverage Davos of the World Economic Forum.
“Nationalism is not the way forward: we hope to build multilateral trade and diplomatic relations around the world and play our part,” added O’Connor, who is also the country’s agriculture minister.
In recent years, protectionism and nationalism have taken the lead, as countries such as the US and some in Europe focus primarily on their national economies and issues, sometimes at the expense of cooperation and collaboration with others. .
Experts have called the close ties between the U.S. and China the new “Cold War,” as tensions spilled over from the trade front to technology and other areas.
They have also warned that the coronavirus pandemic will provoke more protectionist policies among countries as they try to limit the economic damage of the virus.
On Tuesday, New Zealand signed a trade deal with China, which gives kiwi exports greater access to the Asian economic giant. The agreement paves the way for the abolition or reduction of tariffs on many New Zealand products, ranging from dairy and seafood to timber.
Mediation offer
The deal comes at a time when China is still embroiled in trade tensions with countries such as Australia and the United States.
On his time, O’Connor noted, “It sends a really clear signal to the world that China and we, of course, support robust trade agreements … that are backed by good laws.”
China-Australia relations have deteriorated since last year after Canberra backed an international investigation into the manipulation of the coronavirus pandemic in China. As a result, Beijing has been heading for months to a growing list of products imported from Down Under: setting tariffs on wine and barley and suspending beef imports.
New Zealand has offered to mediate a truce between the two countries, saying this year’s Asia-Pacific Economic Cooperation (APEC) summit could be an opportunity for New Zealand to put both sides on the table, according to Reuters .
On New Zealand’s mediation offer, O’Connor said: “We have a mature relationship … with China and we have always been able to raise issues of concern.”
“I can’t talk about Australia and the way it manages its diplomatic relations, but clearly if they will follow us and … talk (with) a little more diplomacy from time to time and be careful with the wording … I hope (they) can be in a similar situation, ”he said
Meanwhile, Australian Treasurer Josh Frydenberg told CNBC on Monday that he would continue to defend his national interests, but that he would like to improve tensions over relations with China.