Is New Zealand re-thinking its opposition to investor-state? This is from Radio New Zealand:
The New Zealand Government could be opening itself to being sued by American multinationals in trade talks - contradicting assurances from Prime Minister John Key.
A top United States trade official says New Zealand is ready to accept investor-state disputes in the nine-country TransPacific Partnership trade agreement (TPP).
Radio New Zealand's economics correspondent says investor-state dispute clause allows multinational companies to sue goverments if they lose profits as a result of new regulation.
They are a feature of US trade deals.
Mr Key last year said it was far-fetched to suggest New Zealand would accept them in the TPP.
But Babara Wiesel, a top US official, says Mr Key's statement has been retracted and New Zealand will agree to the clause.
UPDATE: John Key clarifies:
Prime Minister John Key says he stands by statements he made about the possibility of investor-states suing New Zealand in the Trans-Pacific Partnership (TPP) agreement.
Key today said he had not retracted comments that it was "far-fetched" to suggest an investor could sue New Zealand.
"We don't believe the way the provisions would be structured would allow frivolous claims and in our view, the way we pass regulations and laws in this country, it's extremely unlikely, far-fetched, that we would be sued," he said.
"It's not new for New Zealand to include these provisions in trade deals. We did that with China."
Key's comments followed reports that US Government representatives told a recent Washington DC briefing that a statement made by the New Zealand Prime Minister last year about TPP had since been retracted.
Green Party co-leader Russel Norman said Key needed to explain why US trade representative Barbara Wiesel considered statements made by him no longer stood.
Key said he wasn't aware of any comments made by Wiesel and he had not retracted his comments.
"Either I've done it telepathically or I haven't done it at all, and I think that the latter is the likelier."
