Christopher Luxon has characterised his first face-to-face with China's President as "warm, positive and constructive".
The Prime Minister met with Xi Jinping on the sidelines of the APEC Summit in Peru on Saturday.
Following the meeting Luxon told travelling New Zealand media there's plenty to cooperate on with China when it comes to trade, but neither leader shied away from raising differences either.
"We discussed tensions within the region, particularly around the South China Sea, we reaised human rights, we talked about the Pacific Island nations as well, and wanting to work through the Pacific Islands' Forum."
He said Donald Trump's re-election wasn't discussed, nor were trade tariffs more broadly.
Christopher Luxon and China President Xi Jinping. Photo: Pool / Chris Skelton
Luxon did also raise the issue of missile testing in the Pacific, and he noted President Xi disagreed with his concerns.
"There hadn't been a missile fired for 44 years and it ended up just north of Tahiti, and we have a Pacific that has a history around nuclear testing," he said.
"We were advised a few hours before the event but some of the Pacific nations weren't."
While the two countries have a longstanding free trade agreement, Luxon said "we raise our differences predictably and consistently in private and in public and we'll continue to do so".
Luxon has been invited to China where he plans to take a business delegation and confirmed the trip would take place in the first half of next year.
Most of his conversations with world leaders today centred on trade rather than geostrategic or foreign policy issues, he said.
In addition to China, he had formal bilaterals with the leaders of Indonesia, Vietnam and Peru, and also had an informal catch-up with President Joe Biden and Secretary of State Anthony Blinken at the gala dinner.
Earlier in the day Luxon had spoken at the informal dialogue between leaders ahead of the retreat on Sunday.
He used that time to reiterate New Zealand's position, as a small trading nation, on the benefits of a rules-based system.
"My point was post-Covid we've got an opportunity to restate and recommit to a rules-based system, and that may mean some of our institutions may need to evolve and continue to stay relevant...but it was important for us to make sure we stand-up for those values we believe in."
In his opening remarks, President Xi acknowledged the sound and steady growth between China and New Zealand and commended Luxon for his efforts building the relationship since he took office a year ago.
He also said China was ready to work together with New Zealand to create more firsts.
President Xi noted Luxon had visited China many times in his previous life before politics.
NZ Prime Minister Christopher Luxon meets with China's President, Xi Jinping in Lima. Photo: Pool / Chris Skelton
"Since taking office as the Prime Minister you have attached importance to New Zealand's relationship with China, and supported China-New Zealand cooperation, I commend your efforts."
"During my visit to New Zealand ten years ago our two sides decided to establish a comprehensive strategic partnership, and build a community of shared interests between our two countries," Xi said.
He said the sound and steady growth between the two countries "has greatly improved the wellbeing of our two peoples and should be all the more cherished".
"China is ready to work with your government to create more firsts for our relations, strive for continued growth...and make more contributions to peace, stability, development and prosperity of our region and the world at large," Xi said.
In response Luxon said New Zealand placed "great significance on our relationship with China - its a longstanding and important one".
"China is a place I've visited many time and understand well, and I look forward to us continuing to build on our partnership and friendship as a result."
He told Xi the two countries had strong "people-to-people connections" and he was pleased to see the return of so many air services between the two countries.
Luxon arrived in Peru for APEC overnight.
On arrival, he headed straight to a private catch-up with his Australian counterpart Anthony Albanese.
The leaders of APEC's 21 economies from the Asia-Pacific region are meeting just a week after Donald Trump was declared the US president-elect.
While it is Joe Biden in town representing the US, Trump's promised tariffs will feature heavily in leader to leader conversations this weekend, including between Luxon and China's Xi Jinping.
Xi is under very tight security in Lima, prompting him to send his officials to a grand port opening two hours north while he held a virtual ribbon cutting.
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