“The two countries will eliminate non-tariff trade barriers that impede the flow of goods between their borders,” said New Zealand prime minister Chris Luxon at a joint press conference with Prime Minister Anwar Ibrahim.

Luxon said New Zealand is also working on e-certification and new customs cooperation to smoothen flows at the border.

“The countries’ trade ministers will meet next year to discuss reviewing the Malaysia-New Zealand Free Trade Agreement,” Luxon said, without providing details on how they would increase trade by 50% by 2030.

Luxon also said New Zealand would expand defence cooperation with Malaysia and is deploying one of its air force’s P-8A Poseidon patrol and reconnaissance aircraft to Butterworth, Penang, for a joint exercise.

Anwar and Luxon also called for an immediate ceasefire in the 11-month conflict in Gaza and for a two-state solution between Israel and Palestine to be found.

Luxon, who is on a three-day visit to Malaysia, said New Zealand and Malaysia had different positions on the Palestinian militant group Hamas but were working towards finding a peaceful resolution in the region.

“We both are very united in calling for an immediate ceasefire, getting the parties around the negotiating table, and finding a two-state solution,” he said.

Anwar has good relations with the political leadership of Hamas but has said he has no involvement in its military apparatus.

New Zealand has designated Hamas as a terrorist entity in its entirety.

Anwar said prospects for a ceasefire did not look encouraging at present, adding there was a lack of commitment from countries, particularly the US, who could exert their influence to stop the conflict.

“The only hope is to engage the US to take a stronger stance,” Anwar said.

More than 40,000 Palestinians have died in the Israeli military offensive on Gaza since Oct 7, when Palestinian militant group Hamas attacked southern Israel, killing 1,200 people and abducting 250.