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AUKUS Pillar 2 — should New Zealand join?

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✦ AI Overview

TL;DR

  • AUKUS is a security partnership between Australia, the UK and the US. It has two parts. Pillar 1 is nuclear-powered submarines for Australia — New Zealand is not part of that. Pillar 2 is about sharing advanced military technology like AI, cyber, drones and quantum computing. The question is whether New Zealand should join Pillar 2.
  • New Zealand has not decided, and hasn't even been formally invited. The National-led government says it's "open to exploring" Pillar 2 and has been quietly buying defence equipment (like surveillance drones and space capabilities) that lines up with it. In April 2025 the government announced a $12 billion boost to defence spending over four years.
  • Supporters say joining could open up defence-technology export markets for New Zealand firms — for example Rocket Lab and aerospace companies — and keep the country connected to cutting-edge technology. ACT has been keen, arguing being left out shows New Zealand looks "strategically irrelevant."
  • The big worry is China, New Zealand's largest trading partner, worth around $25–30 billion in trade a year. Critics, including Otago University's Professor Robert Patman, warn joining could signal hostility to Beijing and risk that relationship, with the economic damage hard to predict.
  • There's also New Zealand's nuclear-free law and Pacific identity. Pacific nations have long opposed militarising the region. In May 2026 a minister suggested a "national conversation" about whether the nuclear-free law treats nuclear power differently from nuclear weapons, but PM Christopher Luxon quickly shut that down: "Our nuclear-free position won't be changing — period."
  • The parties are split. National, NZ First and ACT back exploring Pillar 2. Labour's Chris Hipkins says a Labour government would not join, to "restore New Zealand's proudly independent foreign policy." The Greens and Te Pāti Māori are firmly opposed, with Te Pāti Māori saying "your nuclear submarines are not welcome here."

More detail

Pillar 2 does not involve nuclear submarines or nuclear weapons — it's about sharing high-tech military tools. But opponents still tie it to nuclear concerns because it draws New Zealand closer to a partnership built around nuclear-powered subs, and closer to possible conflict between big nuclear powers. Te Pāti Māori frames it as undoing the work of the Nuclear Free and Independent Pacific movement, and argues New Zealand should be "the friend to all and the enemy of none."

The core tension is between security and economics on one side, and independence and the China relationship on the other. Supporters see Pillar 2 as future-proofing New Zealand's access to technology and its friendships with Australia and the US. Critics, like Massey University's Nicola Macaulay, warn that plugging New Zealand's systems into allied networks creates "lasting technical and political dependencies" that could limit its own choices in the Pacific.

Because Labour has promised to pull out of AUKUS talks while the government wants to keep exploring, this is shaping up to be a live issue at the 2026 election. Things to watch: whether the government makes a formal decision, whether the AUKUS partners actually invite New Zealand (they invited Japan into Pillar 2 without Pillar 1, which could be a model), and whether China responds if New Zealand keeps drifting closer.

Full Detail if you want to know more

New Zealand has spent several years in a careful, deliberate holding pattern over whether to join AUKUS Pillar 2 — the advanced-technology cooperation track of the trilateral Australia-UK-US security partnership. While the National-led coalition government has signalled openness and quietly aligned defence procurement with Pillar 2 priorities, no formal decision has been made or invitation formally extended. The debate cuts to the heart of New Zealand's post-Cold War identity: its nuclear-free law, its status as a Pacific nation rather than an "Anglo-antipodean outpost," and the economic weight of its relationship with China.

What's happening

  • September 2021: AUKUS announced by Australia, UK, and US. Prime Minister Jacinda Ardern was not consulted; she was briefed the night before by Australian PM Scott Morrison. Pillar 1 covers nuclear-powered submarines for Australia; Pillar 2 covers advanced military technology — AI, quantum computing, cyber, autonomous systems, undersea capabilities, hypersonics, and electronic warfare.
  • March 2023: Under the Labour government, Foreign Minister Nanaia Mahuta told Australian counterparts New Zealand was "open to continuing to explore non-nuclear cooperation under Pillar Two" but on a "no commitments basis." Australian officials privately considered NZ's response "underwhelming."
  • February 2024: New Defence Minister Judith Collins and Foreign Minister Winston Peters travelled to Melbourne for the inaugural Australia-New Zealand ANZMIN 2+2 talks. Collins said NZ's interest in Pillar 2 was "not a secret," and Australian officials were asked to brief NZ counterparts on available opportunities. NZ's space-launch sector and aerospace manufacturers were flagged as potential contributors.
  • May 2024: AUKUS Industry Trailblazer programme workshops were held in Auckland and Christchurch, meeting circuit-board manufacturers, heavy engineering firms, and aerospace companies.
  • September 2024: A Curia poll found twice as many New Zealanders supported government exploration of Pillar 2 talks as opposed them (44% to 22%, with 34% unsure). The same poll showed large numbers remained unfamiliar with AUKUS.
  • February 2025: Defence Ministry briefing documents (released under OIA) showed NZ was still in a "holding pattern" with officials taking a "deliberate approach to assessing the long-term policy, regional, bilateral, and economic implications." Key sections on identified technology focal areas remained redacted.
  • April 2025: Prime Minister Christopher Luxon announced a $12 billion increase in defence spending over four years, saying it was time New Zealand "pulls its weight" internationally. Defence procurement — long-range uncrewed surveillance aircraft ($100–300 million), space-based capabilities ($300–600 million) — closely mirrors Pillar 2 priorities.
  • May 2026: Defence Minister Chris Penk said at a Singapore security forum that it would be "helpful" to have a national conversation about whether New Zealand's nuclear-free law, which bans nuclear-armed or nuclear-powered vessels, applies differently to nuclear propulsion than nuclear weapons. Luxon swiftly clarified: "Our nuclear-free position won't be changing — period."
  • August 2025: AUKUS tech collaboration moved ahead without New Zealand, with Japan already engaged in Pillar 2 cooperation. No formal invitation extended to NZ as of mid-2025.

Where the parties stand

National and NZ First (governing coalition): Both coalition partners support engagement with Pillar 2 in principle. Judith Collins (National, Defence) was the most outspoken, saying interest was "not a secret" and that NZ was exploring "as much interoperability as we possibly can." Winston Peters (NZ First, Foreign Affairs) attended the ANZMIN talks and backed AUKUS engagement, noting New Zealand's own intelligence assessments of foreign interference and espionage threats justified considering Pillar 2 technologies. NZ First historically supported defence spending increases; its MP Ron Mark drove budget increases in an earlier coalition. Luxon himself used what analysts describe as a familiar "open to exploring" formula without committing further.

ACT Party: ACT has been among the most enthusiastic about AUKUS engagement, with former defence spokesperson James McDowall stating that NZ being excluded from the original AUKUS announcement was a symbol of the country's "strategic irrelevance." The party supports deeper Five Eyes alignment and views Pillar 2 as consistent with that posture.

Labour: Labour's position has hardened in opposition. The party initiated the cautious exploratory approach while in government (2021–2023), but leader Chris Hipkins announced at the 2024 Labour conference that under a Labour government New Zealand would not join AUKUS, pledging to "restore New Zealand's proudly independent foreign policy." Hipkins also emphasised New Zealanders are "rightly proud" of the nuclear-free stance and it should be maintained. During the previous Labour government, ministers maintained a "no commitments" posture while keeping the door open to non-nuclear elements.

Greens: The Green Party takes an explicitly anti-AUKUS stance, grounded in its Security and Defence Policy which favours an independent, Pacific-oriented approach that avoids military alliances. Greens have emphasised the Pacific prioritisation of climate action and development over militarisation, and that AUKUS technologies — including autonomous weapons and hypersonics — conflict with New Zealand's peace values.

Te Pāti Māori: The Māori Party is totally opposed to New Zealand joining AUKUS in any form. Party leaders have stated "your nuclear submarines are not welcome here," connecting AUKUS to a broader critique of nuclear colonialism in the Pacific. Māori leaders argue the arrangement undoes progress made by the Nuclear Free and Independent Pacific movement and would lock New Zealand into potential conflict between nuclear powers. The party argues NZ should be "the friend to all and the enemy of none."

Economic and industrial case for joining

Supporters of Pillar 2 membership point to several concrete benefits. Australia gained approximately $30 million in new military exports after AUKUS trade reform lowered barriers to UK and US defence markets. New Zealand's space-launch sector (Rocket Lab, others) and aerospace manufacturers are seen as natural fits for Pillar 2 supply chains. Proponents argue membership could act as an "economic accelerator" for New Zealand's tech industry and future-proof access to advanced technologies in a bifurcating global ecosystem where the US and China are increasingly pursuing separate technology standards.

Strategic risks and the China question

New Zealand's most significant trading relationship is with China — a Comprehensive Strategic Partnership covering around $25–30 billion in two-way trade annually. Critics warn that joining AUKUS, even only Pillar 2, would signal strategic hostility to Beijing and could damage that relationship in ways that remain "unquantified" in any public analysis. China has expressed grave concern over AUKUS as part of a US-led effort to constrain its influence. Professor Robert Patman of Otago University has argued the risks of joining outweigh the benefits, that strategic assumptions about a new Cold War between the US and China are "contestable," and that the existing relationships with Washington and Canberra are "already in excellent shape" without AUKUS. Massey University researcher Nicola Macaulay warns that embedding NZ surveillance systems in allied networks creates "lasting technical and political dependencies" that limit independent Pacific decision-making. Pacific Island nations, which NZ is deeply engaged with, have consistently opposed the militarisation of the Pacific — placing AUKUS membership in tension with New Zealand's Pacific partnerships.

What to watch

  • Formal government decision on Pillar 2: Officials' July 2025 briefing was described as supporting ministerial decision-making. Whether Cabinet makes a formal go/no-go decision before the 2026 election remains the critical unknown.
  • Whether AUKUS partners formally invite NZ: Judith Collins has acknowledged NZ may not even receive an invitation. How the partners handle Japan's precedent (full Pillar 2 cooperation without Pillar 1) may shape what's offered to Wellington.
  • Nuclear-free policy under pressure: The Penk controversy in May 2026 shows the debate about nuclear propulsion versus nuclear weapons is live. Any future government that chose to revisit the 1987 Act would face major public opposition.
  • 2026 general election: Labour's pledge to pull NZ out of AUKUS negotiations entirely, versus the governing coalition's exploratory stance, makes AUKUS a live election issue for the first time.
  • China trade retaliation risk: As NZ de facto aligns with AUKUS through procurement, whether China registers formal concern or retaliates economically will sharpen the strategic cost-benefit calculation.

This overview is summarised by AI from public sources. It may contain errors and is a guide, not the definitive record — we welcome corrections.

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Should New Zealand join AUKUS Pillar 2 to share advanced military technology with Australia, the UK and the US?
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Is protecting New Zealand's trade relationship with China more important than deepening defence ties with Western allies?
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Key milestones

September 2021news
AUKUS announced — NZ not consulted

Australia, UK and US launch AUKUS. PM Jacinda Ardern is briefed the night before by Scott Morrison but had no role in forming the pact. Pillar 1 covers nuclear submarines for Australia; Pillar 2 covers advanced military technology including AI, quantum computing, and autonomous systems.

RNZ News
February 2024news
Collins and Peters head to Melbourne, signal AUKUS interest

At the inaugural ANZMIN 2+2 talks in Melbourne, Defence Minister Judith Collins and Foreign Minister Winston Peters meet Australian counterparts. Collins says NZ's interest in Pillar 2 is 'not a secret' and Australian officials are asked to brief NZ on available opportunities.

Breaking Defense
February 2025news
Briefing documents reveal NZ in 'holding pattern'

Defence Ministry briefing documents released under the Official Information Act show officials are taking a 'deliberate approach' to assessing Pillar 2 implications. Key sections on identified technology focal areas remain redacted. Australia's AUKUS trade reforms had by this point generated around $30 million in new Australian military exports.

RNZ News
September 2025news
Ministry of Defence publishes Pillar 2 update briefing

The MoD releases a July 2025 joint briefing on 'AUKUS Pillar II developments and proposed next steps' designed to inform ministerial decision-making on potential NZ participation. Significant sections are withheld under the OIA for national security and international relations reasons.

NZ Ministry of Defence
April 2025news
Luxon announces $12 billion defence spending surge

PM Christopher Luxon announces a four-year $12 billion increase in defence spending, saying NZ must 'pull its weight.' Procurement plans for long-range surveillance drones ($100–300 million) and space-based capabilities ($300–600 million) closely mirror AUKUS Pillar 2 priorities.

The Diplomat
May 2026news
Penk suggests nuclear-free debate; Luxon shuts it down

Defence Minister Chris Penk says at a Singapore security forum it would be 'helpful' to have a conversation about whether NZ's nuclear-free law distinguishes between nuclear weapons and nuclear propulsion. PM Luxon moves quickly to close the debate: 'Our nuclear-free position won't be changing — period.'

1News

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