2 Aug 2025

US refuses to budge on 15 percent trade tariff imposed on NZ

7:55 pm on 2 August 2025
Minister for Trade and Investment Todd McClay

Trade and Investment Minister Todd McClay says President Trump's 15 percent trade tariff on New Zealand will be harmful. Photo: RNZ / Samuel Rillstone

Trade Minister Todd McClay has spoken with the United States trade representative to make the case against increased tariffs, but Jamieson Greer appears unlikely to budge.

On Friday, the US announced a new 15 percent tariff on exporters, which McClay called a "blunt tool".

Speaking to delegates at the National Party conference in Christchurch, McClay said he spoke to Greer on Saturday morning.

"I made the case that it is not reasonable and it should not be happening to New Zealand, and it is going to be harmful for some of our exporters, and we would ask them to look at that and reconsider it," he said.

However, Greer had made it clear that President Donald Trump had made a decision, if a country had a trade deficit with the United States, it would be hit with the 15 percent tariff, wherever they were.

Top trade diplomat Vangelis Vitalis will travel to Washington on Sunday, while McClay intended visiting in coming weeks.

Prime Minister Christopher Luxon said New Zealand had underscored it did not believe tariffs were good for the world economy.

"The reality is, as a small trading nation, our job is get out there and hustle, and create opportunities for New Zealand businesses," he said.

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