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Monday, May 11, 2026

Ryan Bridge: NZ's isolation is a blessing and a curse


It'd be easy to draw comparisons and parallels between our upcoming election and the local and federal upsets in Australia and the UK at the weekend.

But New Zealand is a totally different kettle of fish. In part, because, unlike the Brits and the Aussies, we run an MMP system.

The smaller parties that have traditionally been overlooked, like One Nation and Reform, are doing well because the major parties have failed on immigration and the economy.

Our system is designed to allow these smaller parties more say, with fewer wasted votes.

But most importantly, mass-migration is not the hot-button political issue here it is in the UK and, to a lesser extent, Australia, where migration, and particularly illegal migration, is a problem.

The vast distance you must travel to get here is our saving grace, in that regard.

But our isolation is also a curse in many ways.

Our labour productivity, low population base and lack of competition in key consumer sectors make us a relatively pricey place to raise a family.

We're an open economy heavily reliant on international trade.

So when there's a tariff war or international shipping routes get blocked, we are disproportionately affected compared to bigger economies with more domestic demand and buying power.

A government report looking at our undersea infrastructure cables - power and internet - shows how vulnerable we are - 99% of our international internet goes undersea. The Cook Strait power cable provides up to 30% of the North Island’s electricity.

If the Russians or Chinese or somebody else tried to cut us off, we'd be in trouble, and our isolation makes replacing these things more difficult than others.

A quarantine or blockade of Taiwan would be the worst-case scenario for our trade-flows. And, as we've been talking about for years now, could happen anytime from 2027 onwards.

Our isolation protects us from the threats faced by the UK , America and the Aussies, but exposes unique ones we should guard against.

Ryan Bridge is a New Zealand broadcaster who has worked on many current affairs television and radio shows. He currently hosts Newstalk ZB's Early Edition - where this article was sourced.

1 comment:

CXH said...

Why on earth would anyone want to isolate NZ by cutting the cables? Then using the example of Russia or China. Russia is lucky to even know where we are. China is just encouraging us to go bankrupt so they can buy us out.

The only reason for the suggestion is the typical Kiwi belief that we are actually important to the world. A common, but mistaken belief.

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