‘You are family’: Luxon hosts Albanese at Queenstown retreat
Saturday, 9 August 2025
Prime Minister Christopher Luxon and Australian counterpart Anthony Albanese have used talks in Queenstown to condemn Israel’s latest military offensive in Gaza and pledge to further integrate the two nations’ defence forces.
Both leaders said recognition of a Palestinian state was a matter of “when, not if” — but only under the right conditions, including reform of the Palestinian Authority.
They also agreed on the need for an immediate ceasefire, the release of hostages and urgent humanitarian access to Gaza.
On China, they reaffirmed their “cooperate where we can, disagree where we must” approach — maintaining dialogue while raising concerns over human rights, trade and sovereignty.
Their remarks came just hours after a joint statement from the foreign ministers of Australia, New Zealand, Germany, Italy and the United Kingdom rejected Israel’s decision to launch a new large-scale operation in the enclave, warning it risked breaching international humanitarian law.
The statement warned the move would worsen the “catastrophic” humanitarian crisis, endanger hostages, and risk mass civilian displacement, and called for an immediate and permanent ceasefire alongside urgent humanitarian access.
It also reaffirmed the countries’ backing for a negotiated two-state solution, with Hamas excluded from any role in governing Gaza.
Luxon said the two countries shared “a deep concern” over the humanitarian crisis. “The plans the Government of Israel has announced risk violating international humanitarian law,” he said.
Albanese said the two nations stood together in calling for an immediate ceasefire, “the end of suffering and starvation… and the release of all hostages.”
Luxon said the relationship between the two militaries was already “deploying more together, training more together, and exercising more together”, and that New Zealand’s planned increase in defence spending to 2% of GDP within eight years would ensure interoperability with Australia.
There is speculation New Zealand could follow Australia’s decision to award a major contract to Japan’s Mitsubishi Heavy Industries to build new warships, as both nations grapple with replacing ageing ANZAC-class frigates.
New Zealand has committed to nearly doubling defence spending to 2% of GDP within eight years, while Australia is forecast to spend 2.33 per cent.
Luxon said the two sides would pursue joint procurement “to ensure our purchases are as cost effective as possible.”
Albanese pointed to Australia’s own investments, including the new frigates from Japan, saying the two nations’ defence cooperation had “never been stronger.”
Leaving the press conference, a visibly chilled Albanese joked to media: “we’re going in for a cuddle.”
As he arrived, Luxon greeted Albanese with a broad smile and a full bear hug.
Luxon, in his welcome, thanked Albanese, his partner Jodie, and the Australian delegation for making the trip, saying the bond between the two countries runs deeper than politics. “You are not just friends — you are family,” he said, vowing to work together to build a stronger future for “our children and grandchildren.”
The two leaders are spending the weekend in the resort town - in the unlikely setting of a private retreat built by tech billionaire Rod Drury.
The choice of venue adds a striking twist. Te Wharehuanui is a bunker-like building Drury constructed on his property for closed-door meetings with influential people. It was the venue’s first official function.
The room features a circular sunken meeting room beneath a skylight.
Drury — the Xero founder and former chief executive — has previously said the space is intended to bring together global technology innovators and government leaders, with the aim of attracting investment and creating jobs in the Queenstown-Lakes.
Following the press conference, the delegation moved to Stoneridge Estate, a vineyard on the shores of Lake Hayes, for a ‘roundtable’ with business leaders.
That included Qantas boss Vanessa Hudson, Genesis Energy chief Malcolm Johns, Ampol’s Matthew Halliday, John Paitaridis of CyberCX and Beca’s Greg Lowe.
On Sunday, the leaders will lay a wreath at Arrowtown War Memorial Park before Albanese departs.
The pair met shortly after Luxon took office in 2023. He then travelled to Canberra last August for the annual trans-Tasman summit.
Albanese, on his third visit to New Zealand and first to Queenstown this century, began by acknowledging First Nations peoples and Ngāi Tahu hosts.
He spoke of his friendship with Luxon, who he first met as Air NZ chief executive, and reaffirmed that the two countries “stand together” in trade, security, and regional leadership.