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Christopher Luxon's international travel plans waylaid after minor breakdown on NZDF aircraft in PNG

Author
Jenée Tibshraeny,
Publish Date
Sun, 16 Jun 2024, 3:43pm
Prime Minister Christopher Luxon. Photo / Mark Mitchell
Prime Minister Christopher Luxon. Photo / Mark Mitchell

Christopher Luxon's international travel plans waylaid after minor breakdown on NZDF aircraft in PNG

Author
Jenée Tibshraeny,
Publish Date
Sun, 16 Jun 2024, 3:43pm

Prime Minister Christopher Luxon鈥檚 international travel plans have been somewhat waylaid by a minor breakdown.

While refuelling in Papua New Guinea, the New Zealand Defence Force 757 plane suffered a blown fuse and has been delayed.

A spokesman for the Defence Force said it will likely only take an hour to fix.

However, the Prime Minister and his delegation are still expected to land in Tokyo later tonight.

Earlier, Luxon fronted media alongside his Papua New Guinea counterpart to discuss the two countries鈥 close ties and express New Zealand鈥檚 heartfelt sympathies over the recent deadly landslide.

Luxon has set high standards for himself and the 31 businesspeople he鈥檚 travelling to Japan with this week.

He wants the three days in Tokyo to boost New Zealand鈥檚 exports, increase Japanese investment in New Zealand, and enhance the countries鈥 geopolitical ties.

Speaking to the Herald ahead of the trip, Luxon 鈥 who will be accompanied by Trade Minister Todd McClay 鈥 talked up particular opportunities for the space and renewable energy sectors.

With a meeting lined up with Japanese Prime Minister Fumio Kishida, Luxon also saw scope for more sharing of intelligence between the countries, as well as more collaboration on defence.

Luxon didn鈥檛 believe Aukus, which China sees as a threat, would feature heavily in discussions, but wanted Royal New Zealand Air Force planes to have greater access to Japanese airports.

Despite being condemned by some in the business community for criticising New Zealand when overseas, he inadvertently singled out New Zealand businesses as he attacked the Labour-led Government.

Luxon said the problem in the past was the businesses 鈥渨eren鈥檛 able to convert well enough鈥, or turn talk into dollars, during trade trips.

He believed this trip would be different, with the top leadership from the country鈥檚 largest companies involved.

鈥淲e鈥檝e got the right players that are going to build business in Japan, rather than just attending and coming along for the ride,鈥 Luxon said.

鈥淭hey鈥檝e got business to do.鈥

Those on the trip include Luxon鈥檚 successor, Air New Zealand chief executive Greg Foran, ANZ chief executive Antonia Watson, Rocket Lab chief executive Sir Peter Beck, Air New Zealand and ASB chair Dame Therese Walsh, Fonterra director Simon Tucker, Morrison chief executive Paul Newfield, New Zealand Super Fund head of direct investment Will Goodwin, Canterbury University vice chancellor Cheryl de la Re, Xero chief executive Sukhinder Cassidy, Seequent chief executive Graham Grant and Zespri chair Nathan Flowerday.

Luxon wanted both businesses and the Government to tap into Japan鈥檚 deep pools of capital.

He saw scope for the Japanese to help plug New Zealand鈥檚 infrastructure deficit, but isn鈥檛 going to Japan with specific pitches.

He said the Government would have more to say about planning, financing and foreign investment settings later in the year.

鈥淚鈥檝e requested that everywhere I go now, I have a two-hour lunch with big investors that have billions of dollars to invest 鈥 not just wealthy individuals, but actually proper institutional funds,鈥 Luxon said.

鈥淲e need all of those funds to understand, we鈥檙e open for business.鈥

Luxon didn鈥檛 mention the fact last year one of the world鈥檚 largest fund managers, BlackRock, committed to investing $2 billion in clean energy in New Zealand, after former Prime Minister Dame Jacinda Ardern met with its chief executive Larry Fink in New York.

Luxon said New Zealand needed a more 鈥渆xternal orientation鈥 and he was focused on 鈥渞efiring that up鈥.

鈥淚 need to lift the best firms in New Zealand to become globally frontiered firms,鈥 he said.

鈥淲e don鈥檛 have the scale of the big businesses that we need to have.鈥

Luxon said New Zealand鈥檚 problem is that those offshore 鈥渢hink we鈥檙e lovely 鈥 they think we鈥檙e nice 鈥 but they don鈥檛 think we鈥檙e very relevant鈥.

He believed foreigners thought the following of New Zealand: 鈥淭hey are small, they don鈥檛 really matter and we haven鈥檛 heard from them very much recently.鈥

Asked whether there were specific impediments to boosting New Zealand鈥檚 exports to Japan that the Government could remove, Luxon said the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) made for 鈥済ood trading architecture鈥 with Japan.

As a small country, he said, 鈥淵ou have to be able to make sure you win share of mind, not just share of market.鈥

On foreign affairs, Luxon said he 鈥渕ay鈥 discuss Aukus Pillar Two with Kishida.

鈥淚t won鈥檛 be high on my agenda,鈥 he said, having just hosted a high-ranking Chinese premier in New Zealand, Li Qiang.

Aukus is a defence agreement between Australia, the United Kingdom and the United States. It鈥檚 controversial because it could involve the use of nuclear submarines.

Luxon said Pillar Two is about what a specific country can contribute to the alliance.

He said New Zealand is exploring, in its own right, whether there is an opportunity to participate in Pillar Two.

鈥淲e will need to make our own assessment,鈥 Luxon said.

鈥淲e鈥檙e in very early stages of working through with officials from Australia, the UK and US. It鈥檚 pretty ill-defined and abstract.鈥

Jen茅e Tibshraeny is the Herald鈥檚 Wellington business editor, based in the Parliamentary press gallery. She specialises in government and Reserve Bank policymaking, economics and banking.

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