Universities NZ Submission Backs Strengthening New Zealand Export Controls Regime for Secure Research

New Zealand's higher education sector is navigating a pivotal moment in research governance as Universities New Zealand – Te Pōkai Tara (UNZ), the peak body representing the country's eight universities, has submitted its response to the Ministry of Foreign Affairs and Trade (MFAT)'s consultation on strengthening the export controls regime. Published on 13 February 2026, this submission underscores the universities' proactive stance in balancing national security with the open, collaborative nature of academic research.2070

The consultation, which closed on 16 January 2026, proposed significant expansions to address modern proliferation risks, including intangible technology transfers and domestic 'deemed exports'. For universities, these changes could reshape how sensitive dual-use technologies – items with both civilian and military applications – are handled in labs, classrooms, and international collaborations.81

Understanding Export Controls in New Zealand's Context

Export controls refer to government regulations that restrict the transfer of specific goods, software, and technology that could contribute to weapons proliferation, terrorism, or destabilizing military capabilities. In New Zealand, the current regime operates under the Customs and Excise Act 2018, managed by MFAT, and targets items on the New Zealand Strategic Goods List (NZSGL). This list is divided into Part 1 for military goods and Part 2 for dual-use items, such as advanced electronics, sensors, and biotechnology materials.83

Historically, controls focused on physical exports across borders, aligned with international regimes like the Wassenaar Arrangement and the Australia Group. However, evolving threats – including cyber-enabled espionage and intangible knowledge transfers via emails, video calls, or shared data – have exposed gaps. New Zealand's innovation-driven economy, with universities at the forefront of fields like quantum computing and aerospace, makes updating these rules essential.83

MFAT's Bold Proposals for Regime Overhaul

MFAT's discussion document outlines transformative changes to create a standalone Export Controls Bill. Key proposals include:

• Expanding scope to intangible technology transfers (ITT), such as teaching sensitive topics or providing technical assistance.
• Introducing 'deemed exports' – permits required for sharing controlled technology with non-exempt foreign nationals inside New Zealand, like international students or visiting researchers.
• Controls on domestic publications and ITT by Kiwis overseas.
• Graduated penalties, from warnings to fines up to $100,000 or imprisonment, emphasizing compliance education.83

Exemptions are proposed for fundamental research intended for open publication, public domain info, and transfers to trusted partners like Australia, the US, UK, and EU states. A provisional permit decision process offers 20 working days for rebuttals, aiding transparency.83

Universities NZ's Strategic Submission

UNZ's submission affirms strong support for modernization, viewing it as vital to counter proliferation while protecting New Zealand's reputation as a responsible global actor. They highlight universities' existing compliance frameworks, like the Trusted Research – Protective Security Requirements (TR-PSR), a joint guide with government agencies for managing research risks.20

Key recommendations likely include calls for clear guidance, training modules, and exemptions tailored to academic settings – such as for PhD supervision or lab access by international students from exempt countries. UNZ stresses minimizing bureaucratic hurdles to sustain international partnerships, which bring in over NZ$1 billion annually from 40,000+ international students across the eight universities.70

This aligns with prior UNZ initiatives, like the 2023 Introductory TR-PSR training module on export controls in research.14

Direct Impacts on University Research and Operations

NZ universities conduct cutting-edge work in dual-use areas: the University of Auckland's quantum tech labs, Otago's biotechnology programs, and Canterbury's engineering collaborations with Rocket Lab on space tech. Deemed exports could require permits for foreign PhD candidates accessing 'very sensitive' Part 2 NZSGL software, potentially delaying projects or excluding talent.39

• Compliance costs: One-off audits and ongoing permit applications, estimated in thousands per institution annually.
• International mobility: Visa-aligned checks for researchers from high-risk countries.
• IP protection: Enhanced safeguards against espionage, benefiting research jobs in secure environments.

Yet, exemptions for 'fundamental research' – defined as openly published without access restrictions – shield most publications. Universities like Victoria University of Wellington already have export control officers screening projects.36

Photo by Wallace Fonseca on Unsplash

Stakeholder Perspectives: Harmony and Nuance

BusinessNZ's ExportNZ submission echoes UNZ, preferring risk-based controls with trusted supplier schemes for streamlined self-certification. They advocate exemptions for partner countries and through-life support for exported systems, differing slightly by prioritizing commercial supply chains over academic freedom.82

Civil society and Māori groups, consulted as Treaty partners, emphasize equitable implementation protecting indigenous knowledge like mātauranga Māori in biotech research. MFAT's outreach included targeted events, ensuring diverse input.83

Challenges, Solutions, and Best Practices

Challenges include administrative burden on cash-strapped unis (government funding ~70% of ops) and chilling effects on collaborations. Solutions draw from UNZ's TR-PSR: step-by-step risk assessments – identify controlled tech, classify recipients, apply exemptions, seek permits if needed.4

• Training: Mandatory modules for researchers and admins.
• Tech tools: Automated screening software.
• Partnerships: Align with Australia's regime for trans-Tasman ease.

Auckland University's Export Controls Officer exemplifies proactive compliance, advising on permits pre-project.39 For career advice on navigating this, check academic CV tips.

NZ Universities' Sensitive Research Landscape

With NZ$1.8 billion in annual research income, unis lead in AI ethics (Wellington), marine sensors (Otago), and hypersonics (Waikato). Case: A hypothetical quantum encryption project might trigger Part 2 controls if shared with a non-exempt Chinese national PhD student, requiring MFAT permit – process: classify tech, submit app with end-use statement, await 20-30 days.83

Stats: 25% of PhDs are international; post-controls, expect 5-10% compliance overhead but gains in secure funding from Five Eyes partners.

International Comparisons and Lessons

Australia's 2024 deemed export rules mirror proposals, with unis adapting via dedicated compliance teams. US EAR/ITAR exemptions for fundamental research offer a model, protecting 90% of academic outputs. NZ's regime aims for reciprocity, easing exports to aligned nations.83

Future Outlook: Post-Submission Next Steps

MFAT will analyze submissions, advise Cabinet, and draft legislation by late 2026, with 6-9 month transition including outreach. Universities gear up via UNZ-led webinars. Positive: Enhanced global trust boosts research assistant jobs and grants. Watch for Bill introduction in 2027 Parliament.

Photo by Kerin Gedge on Unsplash

Actionable Insights for Higher Ed Professionals

Researchers: Audit projects against NZSGL; use UNZ tools. Admins: Build compliance teams. Int'l students: Confirm status for lab access. Explore NZ university jobs or rate your professors amid evolving regs. For tailored advice, visit higher ed career advice.

This regime strengthens NZ's higher ed as a secure innovation hub – stay informed and compliant.