New Zealand endorsed the United States' 'Statement of Principles for Indo-Pacific Defense Industrial Base Collaboration' earlier this year. File photo. Photo: 123rf
New Zealand has quietly signed up to help the United States in its new strategy to expand the weapons-making defence industrial base across the Indo-Pacific region.
The government endorsed a 'Statement of Principles for Indo-Pacific Defense Industrial Base Collaboration' in June.
NZ agrees to help US expand weapons manufacturing
The US says this is part of unlocking "new sources of supply" of weapons, and integrating other countries' defence industrial bases with its own.
"This will increase the purchasing power of the US defence budget," a top US diplomat said a few weeks ago.
Australia is poised to begin making guided missiles for the US as part of the regional push.
US military commanders have repeatedly told Congress about China moving fast in this area, and their own need to "go fast to help prepare us for conflict" in the Indo-Pacific.
Defence Minister Judith Collins mentioned New Zealand backing the statement in a speech, but it went otherwise unannounced.
"Our commitment to cooperation on particular issues where we have shared interests is also why New Zealand is pleased to endorse the Statement of Principles to strengthen the region's defence industrial base," she told an Asian defence summit in June.
The statement commits New Zealand to pursue collaboration to strengthen "defence industrial resilience", improve information sharing and reduce barriers, and also get industry to take part.
US Defence Secretary Lloyd Austin told the same summit alongside Collins: "We're breaking down national barriers and better integrating our defence industries."
This strategy began at the Pentagon two years ago, when it "uncovered" gaps in being able to rapidly speed up military production.
US President Joe Biden issued orders to fix the gaps urgently, and bringing allies on board has been a primary strategy since then.
"The DoD [Department of Defence] is committed to strengthening the industrial base and establishing a network of domestic and allied supply chains to meet national security needs," said official reports.
A Biden order in February 2022 put a 12-month focus on developing hypersonic weapons technology. Earlier this year, Collins referred to hypersonics as something New Zealand could help with.
Existing defence arrangements with NATO, AUKUS and the NTIB are an explicit focus.
New Zealand was inserted into the National Technology and Industrial Base (NTIB) military trade pact - in late 2022 by a unilateral vote of Congress, just a few months after Biden's 'fix-the-gaps' orders.
Being in the NTIB reduces the legal hurdles to the US sharing advanced military technology with New Zealand.
The two countries already have a similar arrangement around space launches, another of the Pentagon's recent top priorities.
New Zealand is also considering joining Aukus Pillar two, a partnership for sharing military technology.
These various multinational moves coincide with a more aggressive stance at the New Zealand Defence Force (NZDF) since mid-2023.
Asked about its increasing engagement in high-tech war-games with the US, the NZDF told RNZ last week that government strategy "asks the NZDF to be better prepared for combat operations" because the region was more unstable.
The Indo-Pacific statement followed the release in January of a new US National Defence Industrial Strategy.
The new strategy "calls to incorporate allies and partners at every stage of defence planning".
It said the capabilities of Indo-Pacific governments and private companies needed to be matched to the US military's "sustainment needs".
It was "imperative" to the US national interest to set up "multiple, redundant production lines across a consortium of like-minded nations" to supply warfighters, the strategy said.
This could include sweetheart financing - the Pentagon has been pushing Congress to offer better financing to allies to buy weapons systems, and to ease restrictions on military technology transfer, described by commanders as the "largest hurdle preventing greater defense co-production and co-development".
Australia - New Zealand's top ally - is leading the way, with specials deals to enable it to start building Lockheed Martin missiles for the first time next year, under a $5 billion plan.
New Zealand has half the defence budget per capita, but the NZDF's new defence capability plan for 2024-40, which has gone to Collins for approval, is certain to stress the need to acquire technology that can work in with Australian and US technology.
RNZ has asked the government what part New Zealand will play now it has backed the statement, which commits to setting up a 'Partnership for Indo-Pacific Industrial Resilience', to exchange lessons learned and best practices.
A new regional framework for repairing US military equipment is being set up across five unnamed countries, but does not appear to include New Zealand.
On the statement's stated aim of reducing barriers, RNZ has asked Collins if this extended to regulatory reform of the aerospace/space industry, since this aim was mentioned in official documents.
On Aukus Pillar Two, the OIA briefings quoted Collins saying: "We are looking at how New Zealand could participate in Pillar Two, particularly in those areas where New Zealand could make a material contribution."
Collins adopted similar terms as in the US official reports, referring to "co-sustainment" through the regional repair framework, "harmonised regulatory systems, and co-development and joint procurement".
"I welcome initiatives aimed at increasing Defence supply chain resilience, including by reducing barriers to cooperation and market access," she told RNZ in a statement this week.
"As a next step, officials are engaging with counterparts from other Indo-Pacific nations on how the Statement of Principles will be operationalised. Officials will provide me with advice on options for implementation," Collins said.
The US Embassy said the regional framework was a cooperative and coordinated approach that "reduces operational risk, enhances readiness, and increases capabilities for the US and its partners", whether to support Ukraine or help in disasters.
"The framework positively effects deterrence as a solution to rapidly changing global threats," it told RNZ. It included a US commitment to adapt and evolve.
The Labour Party's foreign affairs spokesperson David Parker said it was likely the defence force had been having talks with Australia, the US and others on getting hold of defence technology and hardware and inter-operability.
"New Zealand is a small player when it comes to military technology, and we generally buy it in. We are not, and are unlikely to become, a substantial producer of arms," Parker said in a statement.
Interoperability was a longstanding requirement to stay viable.
"Nevertheless we believe the most important issue right now is not the origin of the hardware but the direction of our foreign policy, and how New Zealand navigates the increasingly tense relationship between China and the US."