Bilateral FDI Relations Between China and New Zealand: General Trends, Driving Forces and Perceptions

Abstract

One of the most dynamic and also controversial linkages in the bilateral New Zealand–China economic relations is the bilateral foreign direct investment (FDI), especially the rapid rise of outward Chinese investment in New Zealand. New Zealand has long relied on foreign investment for its economic growth, but it is a new phenomenon for this country to act as a preferred destination for Chinese direct investment.

From an insignificant level, Chinese direct investment in New Zealand has experienced a rapid growth in the recent years and demonstrated some specific features. This chapter examines major motivating factors that have driven Chinese companies to invest in New Zealand, and analyses the concerns in the New Zealand society over Chinese FDI.