Malaysia & New Zealand Signed Free Trade Agreement

Malaysia and New Zealand signed a free trade agreement on 26 October 2009 in Kuala Lumpur after four years of talks.  

Malaysia and New Zealand successfully concluded the bilateral negotiations on the Malaysia-New Zealand Free Trade Area (MNZFTA) on 30 May 2009. This FTA will complement the ASEAN-Australia-New Zealand FTA (AANZFTA), and will further facilitate and enhance two-way trade, services, investment and economic relations in general. 

The Asean-Australia-New Zealand FTA will be implemented on Jan 1, 2010. Malaysia and New Zealand are working to determine the earliest possible date to implement their free trade agreement (MNFTA), preferably by next year. 

Under the agreement, Malaysia will progressively eliminate import taxes on 10,293 products from New Zealand. New Zealand will scrap the import levy on 7,238 products imported from Malaysia by 2016. Most of our major textile and apparel items exporting to New Zealand will still be subject to import tariff which will be phasing out on a gradual basis. Please refer to MKMA website www.mkma.org for New Zealand’s tariff schedule. 

Malaysia's total trade with New Zealand in 2008 amounted to US$1.9 billion (RM6.2 billion) comprising exports worth US$1.1 billion (RM3.6 billion) and imports US$0.8 billion (RM2.6 billion). Trade during January to April 2009 amounted to US$288.9 million (RM1,046.5 million), with exports worth US$135.7 million (RM491.6 million) and imports US$153.2 million (RM554.9 million). 

In 2008 , New Zealand was Malaysia's:

  • 30th largest trading partner;

  • 27th largest export destination; and

  • 34th largest import source.

Growth in total trade between the two countries increased by 14.7% in 2007 and 46.2% in 2008.  

The trade pact with New Zealand is Malaysia’s third FTA, following bilateral agreements with Japan in 2005 and Pakistan in 2007.

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