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PRIME MINISTER
Transcript Press briefing with John Bowan -7 August 1984
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BOWAN: The two Prime Ministers met for an hour altogether
this morning, of which about three quarters was just a private
meeting between themselves and about twenty minutes or so
with officials. They did discuss the issue of ANZUS and allied
ship visits and in the course of the discussion the
Prime Minister outlined the Australian Government's position
which you are all familiar with. He made it quite clear in
doing that that he was expressing the Australian view and he
was not acting as an emissary of the United States. And then
they had a useful exchange on the issue.
Turning to economic issues they discussed CER and they
reaffirmed the commitment of both Governments to the CER
process and in that context they discussed a number of
investment and trade problems which had emerged under the
previous conservative New Zealand administration..
On motor vehicles the New Zealanders acknowledged that the
arrangements announced by Mr Muldoon during the election
would have reduced preferences to Australian vehicles in the
New Zealand market to a very significantly damaging point and
he acknowledged that this was not viable in the CEfl context
and Mr Lange undertook to review the arrangements at ministerial
level and within one month to'be in a position to come back
and talk to us about it with rather a more satisfactory
position.
On steel the two Prime Ministers reveiwed the recent history
of relations on steel and agreed that they would initiate
discussion by officials and Ministers to find an acceptable
formula for equitable reciprocal access to each other's markets
for rolled steel from the time the new New Zealand rolling
mill comes into production. Now that's planned for 1986
until 1991 when the CER free trade provisions come into
force. On investment Mr Hawke expressed appreciation of the new
New Zealand's Labor Government's decision to lift an embargo
on Australian investment in New Zealand. The two Prime
Ministers agreed that despite Muldoon propaganda there was
really no real current investment impediment to New Zealand
in Australia. And the P. M. indicated that for its part
Australia was determining its arrangements to ensure that
problems did not arise in the future. In that context the
question of the well-known application by the Bank / 2
BOWAN cant : of New Zealand t~ o open in Australia was
raised.
JOURNALIST: The Bank of New Zealand?
BOWAN: The National Bank of New Zealand. The P. M. indicate~ d
that in the months following the Budget the Treasurer would
bring forward a submission on the entry of foreign banks
and in that context the New Zealand application would be
examined sympathetically.
JOURNALIST: Is that month or months?
BOWAN: Months. So that's it ladies arid gentlemen.
JOURNALIST: On the ANZUS talks would Mr Hawke have got
an impression from Mr Lange that. in fact their position
C wouldn't change on the nuclear ships.
BOWAN: Well Barrie I can't go beyond what I've said which is
basically they had a useful exchange on the issue.
JOURNALIST: What was useful about the exchange?
JOURNALIST: How long did they devote to that discussion?
BOWAN: I don't know Greg, I wasn't there.
JOURNALIST: So this all occurred in the private meeting,
none outside it?
BOWAN: Yes.
JOURNALIST: Can you say what Hawke said expressing the Australian
view?
C BOWAN: Well the Australian view as you kn'ow is that we accept
visits by allied warships and we will continue to do so.
JOURNALIST: consequence for the future of the alliance?
BOWAN: I don't know about that.
JOURNALIST: Do you know if they agreed to have future talks
with us about it.
BOWAN: I don't know what they agreed. I presume that there
will be continued discussion on the subje-ct.
JOURNALIST: Were you there for the last twenty minutes?
BOWAN: Yes I was there for the I think it was a very
friendly meeting. They know each other as you know from
Mr Lange's visit to Australia last July and they have a good
rapport. / 3
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JOURNALIST: Are they planning to meet agaiLn while they're here?
BOWAN: Not for a specific bilateral occasion like this. They'll
no doubt be running into each other at different social events.
JOURNALIST: Have you got any more detail on the cars, what
the preferences, what the effect Would be. Would we sell them
more cars, will they be cheaper ther?
BOWAN: Well I presume that's obviously our concern. With
the proposal that Muldoon put forward it would then have been very
to our position. And the fact that * the New Zealanders have
acknowledged' that certainly leads uIS'to be hopeful that we'll
come up with a better
JOURNALIST: I don't know exactly. what it was Muldoon did in
any particular detail.
C' GARNAUT: a new car industry plan in the course of the
election campaign. One feature of that was to reduce the
margin of preference that Australian vehicles had in the past.
Another feature was that it didn't move towards a great deal
of free access for Australian vehicles And the combination
of those two effects was going to reduce what had been anhistorically
important market for Australia. Australia would
prefer arrangements that increase rather than reduce markets
overseas. JOURNALIST: How much was it going to reduce the market. What*
sort of estimates did we have on that?
GARNAUT: There hasn't been any detailed assessment but it did
look as if it was going to be substantial and Mr Lange
JOURNALIST: What's substantial 20%, 30%, 10%,
GARNAUT: I haven't seen a quantitative estimate but I ' would
C think it would be more like the largest than the smallest.
JOURNALIST: How much is the market preference at this stage?
GARNAUT: Well it's different for different sections of the
industry.
JOURNALIST: of our P. M. going to New Zealand at some stage?'
BOWAN: Not that I'm aware of Peter.
JOURNALIST: Did Lange tell him he might t'e raising this ANZUS
thing at the South Pacific Forum on nuclear, ships?
BOWAN: I don't know.
JOURNALIST: Can you give a bit more detail on the nuclear
ships maybe later?
BOWAN: I'm not sure that we really want to go beyond what
I've said really.
JOURNALIST: What was the point of the meeting. I mean can
Mr Hawke get some indication of any change in the New Zealand
attitude between when Mr Hayden was there and now.
BOWAN: Well he wanted to discuss the issue and hear from
Mr Lange his views on it and to take the opportunity to put
across our own views.
JOURNALIST: Did he go beyond our own views in terms of
trying to put together some sort of foram to resolve the
problem or ideas?
BOWAN: I don't know about that Greg.
JOURNALIST: Why is the Government being so reticent?
BOWAN: I think this was a private discussion between the
two Prime Ministers. It's obviously a fairly sensitive issue.
JOURNALIST: When our Prime Minister says that we accept visits by
allied nuclear ships as part of the pact did he indicate the we
believe that we do this because we believe it's necessary for
the continuation of the pact as a workable pact.
BOWAN: I believe that's part of our position.
JOURNALIST: He would have spelt that out as well I take it?
BOWAN: Well I imagine.
JOURNALIST: So is this sort of reticence about something that'Is
1going to be because of our concern or New Zealan-d. s concern
* 1 for their position.
BOWAN: No I think it's just appropriate that the issue be
handled with sensitiveness.
JOURNALIST: Would it be too strong to say that Mr Hawke said
4 to Mr Lange today if the visits didn't go ahead that ANZUS
could break down.
BOWAN: I don't know whether he put that to him?
JOURNALIST: Well there must have been a determined position
before he went in though?
BOWAN: Well I don't really want to go basically beyond the
position that I set out in the beginning.
JOURNALIST: Did Mr Hawke give Mr Lange any hints on his
experience in handling the economy, on the National Economic
Summit?
BOWAN: There was a separate meeting of some officials at which
there was some discussion of the Summit and the New Zealanders
plans were certainly raised. I don't know what it was like
in the discussions between them.
JOURNALIST: What was that separate officials' meeting about
besides the Summit.
BOWAN: Well it was really the officials who were basically
in readiness to take part in with the Prime Ministers. There
was a bit of a social gathering first and then there was
some discussion.
JOURNALIST: Was there a discussion on the nuclear ships
BOWAN: No. No formal discussions.
JOURNALIST: Did they talk about the future of CHOGRM.
BOWAN: Not as far as I know Peter.
JOURNALIST: Did they discuss the gold medal tally
BOWAN: That would almost certainly have been a subject.
Just as a matter of interest the Prime Minister this evening
after the conclusion of the day's festivities will be receivinig
a call by the Indonesian Minister for Home Affairs, Mr Soedarijo
Rustan, who is representing President Suharto here at the
I opening of the PNG Parliament.
JOURNALIST: Has he got any plans to see Rajaratnam while he'~ s
here?
BOWAN: No, no Bruce.
I JOURNALIST: What's the purpose of this call tonight?
BOWAN: Well the Indonesians have indicated that they would
like Mr Soedardjo to pay a courtesy call on the Prime Minister.
JOURNALIST: Did they mention any specific
BOWAN: No specific topics, no.