New Zealand Increases Defense Investments Against China

New Zealand has developed a significant defence plan, focusing on security dynamics in its region. The Defence Capability Plan (DCP), announced by Prime Minister Christopher Luxon on 7 April 2025, aims to counter China’s rising military power. The plan stands out with its promise to increase the country’s defence spending to 2% of Gross Domestic Product (GDP). The DCP includes not only the modernisation of its navy and air force, but also extensive investments in the New Zealand Defence Force (NZDF).

Increasing Defense Expenditures and Investment Plans

Prime Minister Luxon, in his statement on the X platform, emphasized the need to increase defense spending, saying, “We cannot have prosperity without security.” It was stated that the defense budget in the country will be doubled in the next eight years, and this spending will reach 2% of GDP. This increase is seen as a critical step in increasing New Zealand’s defense capabilities and being able to provide an effective response to security threats in the region.

The Defense Capability Plan states that assets such as ships, aircraft and vehicles will be selected to be equipped with missiles in the first stage and that these systems will be expanded to other areas in the future. In addition, the plan also envisages the development of long-range attack capabilities.

New Zealand Defence Force Requirements

The New Zealand Defence Force is facing staff shortages, inadequate infrastructure and maintenance issues. The NZDF’s current situation is marked by silt-prone naval bases, eroding air bases and deficiencies in its navy. Details of investments to be made through 2040 to address these issues have been announced. The plan includes a commitment of NZ$12 billion (US$6,6 billion) and is set to be reviewed every two years.

Defence Minister Judith Collins stated that New Zealand's small size did not mean it was unimportant in the international arena, and expressed their commitment to naval power by saying, "We are a maritime nation." This statement underlines that the country's strategic defence plans will be based on naval power.

New Defense Investments and Infrastructure Improvements

Significant investments will be made to increase New Zealand’s defence capacity. The Royal New Zealand Air Force (RNZAF) will upgrade its Boeing 757s to strengthen its flight capability, while new turrets will be purchased for light armoured vehicles (LAVs) and Javelin anti-tank missiles will be added to the inventory. The Navy will repair its existing Anzac-class frigates, strengthen its helicopter fleets and acquire new unmanned aerial vehicles (UAVs).

Investments include NZ$1 billion in housing and property improvements, while a range of infrastructure projects for the NZDF will also be funded over the period, aiming to improve personnel living conditions and maximise defence technology.

International Cooperation and Regional Security

New Zealand aims to increase regional cooperation and, in particular, align its defence capabilities with Australia. The DCP emphasises that the two countries aim to procure the same assets and equipment. This is considered an important step for military cooperation in the region and stands out as a strategy to increase interoperability.

The plan does not target any specific country and does not include any changes to anti-nuclear policies, and says the measures taken to counter China’s military power are merely a response to regional security threats. However, China’s maritime activities have created significant security concerns for New Zealand. In February 2025, a massive Chinese naval fleet was detected in the Tasman Sea, raising New Zealand’s interest in maritime security.

New Zealand's Strategic Move

New Zealand’s Defence Capability Plan can be seen as a strategic security step in the face of China’s rising influence. Investments to increase the country’s defence capacity aim to ensure national security and strengthen regional cooperation. The plan will enable New Zealand to play a stronger role in the global security system and help it to gain a stronger position in maritime and air security issues in the region.