Radio New Zealand - Te Reo Irirangi o Aotearoa

Warning trade deal could hurt NZ-China relationship

Updated at 9:18 am on 12 February 2012

A business adviser in Beijing warns a free trade deal with the United States could hurt New Zealand's relationship with China.

David Mahon is a former chair of a Government-backed board that helps New Zealand businesses break into the Chinese market.

The investment banker says New Zealand must be careful that its involvement in the TransPacific Partnership (TPP) is not seen by the Chinese government as part of a US-backed plot to restrict China economically.

Trade Minister Tim Groser said this week that New Zealand would leave the TransPacific Partnership if it became clear the talks were being used by the US to check China's economic rise.

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