A new report examining the education relationship between New Zealand and China has highlighted the significant economic, social and strategic value Chinese students bring to the country, while warning that growing global competition means these benefits cannot be taken for granted.
The report, Learning to Make a Difference: The New Zealand–China Education Relationship and its Impacts, released by the New Zealand China Council, paints a detailed picture of how deeply international education is intertwined with New Zealand’s economy, research system and international engagement.
At a time when globally mobile students have become one of the world’s largest services exports, international education is worth well over US$200 billion globally and plays an increasingly important role in national economic strategies.
For New Zealand, China remains central to that story.
A major contributor to New Zealand’s education economy
Chinese students represent one of the largest international cohorts in the country. In the first half of 2025, almost 28,000 Chinese students were studying in New Zealand, accounting for around 35 percent of all international enrolments.
Their presence is particularly significant in the university sector, where they make up nearly half of all international students.
The economic contribution is substantial. Chinese students account for roughly one third of New Zealand’s export education revenue, which totalled between NZ$3.3 billion and NZ$3.6 billion in 2024.
Beyond tuition fees, the report notes that Chinese students spend significantly more than the average international student while living in New Zealand. Annual spending averages about NZ$58,576 per student, compared with an overall international student average of NZ$45,776.
This spending flows into housing, food, transport, retail and travel, supporting local economies across the country.
Beyond economics: building long-term relationships
However, the report argues that the true value of international education extends well beyond immediate economic returns.
Chinese graduates who study in New Zealand often maintain lifelong connections with the country, whether they remain in New Zealand’s workforce or return home with positive experiences of their time studying there.
Many go on to act as “connectors” between the two countries, facilitating trade, investment, research collaboration and cultural exchange.
These people-to-people links form what the report describes as “relationship infrastructure”, an informal but powerful network that strengthens diplomatic, economic and academic ties over time.
Education, in this sense, becomes more than an export industry. It becomes a pillar of international engagement.
A more competitive global landscape
Despite the clear benefits, the report warns that the international student market has changed significantly.
Chinese students now have far more study destinations to choose from than in previous decades. What was once dominated by the traditional “Big Four” destinations of the United States, United Kingdom, Canada and Australia has expanded into a far more competitive landscape of roughly fourteen major host countries.
At the same time, China’s declining birth rate means the total number of potential outbound students may shrink over time, intensifying competition between host countries.
For New Zealand, the challenge is maintaining its reputation as a high quality, stable and trustworthy study destination in an increasingly crowded market.
Building capability on both sides
The report also highlights a potential imbalance in the relationship.
While large numbers of Chinese students come to New Zealand, relatively few New Zealand students study in China. This imbalance raises concerns about the long-term pipeline of China-capable graduates with language skills and cultural understanding.
The decline of Chinese language study in New Zealand schools and the loss of funding programmes that supported students studying in China are cited as risks to the country’s future capability in engaging with one of its most important global partners.
Strengthening outbound mobility and language learning is therefore seen as critical to maintaining balanced and resilient education links.
Navigating opportunity and risk
The report also touches on the increasingly complex geopolitical environment shaping international education and research collaboration.
While academic partnerships between New Zealand and China remain strong, there is growing scrutiny globally around issues such as technology transfer, research security and foreign interference.
Rather than disengaging, the report recommends a calibrated approach that balances openness with appropriate safeguards to protect sensitive research while preserving valuable collaboration.
A relationship worth investing in
Despite these challenges, the report concludes that the foundations of the New Zealand–China education relationship remain strong.
New Zealand’s reputation as a safe, stable and welcoming study destination continues to resonate with international families, particularly at times when policy volatility in larger destinations creates uncertainty.
Maintaining that trust, the report argues, will be critical if New Zealand is to continue attracting Chinese students and the wider benefits they bring.
As the global competition for students intensifies, the message from the report is clear: international education is not simply a revenue stream, but a long-term investment in economic prosperity, international relationships and national capability.
The report can be accessed here.
