Otago Daily Times

China calls meeting after hacking criticism

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WELLINGTON: China’s embassy summoned New Zealand foreign officials to a meeting after the Government voiced criticism of Chinese statefunde­d hacking, raising industry concerns over trade implicatio­ns.

The meeting came after the embassy issued a statement on Tuesday saying the accusation­s from the minister of New Zealand’s spy agencies, Andrew Little, were ‘‘totally groundless and irresponsi­ble’’.

The statement said such accusation­s should be backed by clear evidence, and doing so without was a malicious smear.

‘‘We urge the New Zealand side to abandon the Cold War mentality, adopt a profession­al and responsibl­e attitude when dealing with cyber incidents, and work with others to jointly tackle the challenge through dialogue and cooperatio­n, rather than manipulati­ng political issues under the pretext of cyber security and mudslingin­g at others.’’

National’s leader Judith Collins warned yesterday morning that New Zealand should brace for a backlash.

In a statement yesterday afternoon, Foreign Minister Nanaia

Mahuta’s office said officials had met representa­tives of the embassy at their request.

‘‘Areas of difference need not define our relationsh­ip, but we will continue to promote the things that we believe in, and support the internatio­nal rulesbased system,’’ she said.

‘‘Our relationsh­ip with China is one of our most significan­t, impacting a wide range of sectors and groups across Aotearoa New Zealand.’’

New Zealand exporters have been concerned that the escalation of rhetoric could lead to a trade backlash from China, urging both countries to keep trade and politics separate.

New Zealand China Council chairman Sir Don McKinnon said the country had to be prepared after calling China out.

‘‘Once you reach a stage where you feel you have to criticise China publicly — which is what’s happened more recently — well that escalates it to a new level and you’ve got to be prepared for the consequenc­es of that,’’ he said.

‘‘Trade with China means money in people’s pockets in New Zealand, from one end of the country to the other.’’

Sir Don, who is also a former deputy prime minister and foreign affairs minister, said it was a natural commercial decision make the most of a good opportunit­y but some of the vulnerabil­ity of New Zealand’s trade with China came down to individual exporters and companies.

‘‘They’ve got to make the ultimate judgement how . . . vulnerable do they wish to be given the nature of whatever they are producing,’’ he said.

University of Auckland economics lecturer Robert Scollay said it was up to such companies to assess risk, but the Government also had a huge and difficult role to play in managing the trade relationsh­ip.

‘‘The major players are not necessaril­y always acting in a reasonable way, so navigating a path through those tensions is a really major task . . . and you need to rely on [the Government] to manage that extremely competentl­y and carefully.’’ — RNZ

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