New Zealand, Australia Seek Global Allies for Free Trade Response

In response to significant U.S. tariffs, New Zealand Prime Minister Christopher Luxon is advocating for a global coalition to safeguard free trade, emphasizing the need for a rules-based trading system. He plans to engage with international leaders, including a meeting with UK Prime Minister Keir Starmer, to discuss collaborative efforts among nations such as the EU and members of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). The U.S. has recently implemented a temporary truce on certain tariffs, reducing them to 10% for most countries, while maintaining a 125% tariff on Chinese imports, which has kept global markets on edge. Luxon described the potential long-term consequences of a global retreat from trade as a significant threat. He believes that collective action could help mitigate these risks and ensure the integrity of supply chains. Discussions are already underway with various nations to formulate a coordinated response to the U.S. tariffs, with Luxon highlighting the importance of maintaining free trade as essential for prosperity.