David Parker says looming global economic woes will hit NZ exports

The Trade Minister is worried that the increase in New Zealand exports won’t last long, as the current economic climate poses a threat to their survival.

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The Trade Minister and the deputy National Party leader spoke about the current economic climate on Breakfast. Source: Breakfast

David Parker, the Trade Minister and Paula Bennett, Deputy National Party leader, spoke about the current economic climate on Breakfast this morning.

“New Zealand exports are currently up, but there’s a threat to their survival," said Mr Parker. 

“There’s this rise in protectionism, there are these headwinds abroad. Singapore, Japan, Europe, America, all their growth forecasts are down, and it must affect us."

Ms Bennett said she was "incredibly worried" because "it’s about our spending here in New Zealand, so if our businesses are not thriving, if there not trading at the levels that we want to because of what’s happening in the world, it’s having a huge effect.”

The concern comes from the state of the current economic climate around the world.

All three major US indexes were down about three per cent on Wednesday, with the blue-chip Dow posting its biggest one-day point drop since October.

China and Germany’s economy is faltering because of the US-China trade war, Brexit and geopolitical tensions.

Germany reported a contraction in second-quarter gross domestic product, and China's industrial growth in July hit a 17-year low.