Cost of Ara’s failed 20-year partnership with Chinese university withheld

Wednesday, 17 June 2026

A 20-year partnership between Ara and a Chinese university came to abrupt end just three years after it was struck.

The financial impact of a failed educational partnership between Christchurch’s largest vocational education provider and a Chinese university is being withheld on the basis of “commercial sensitivity”, despite calls for transparency.

Ara Institute of Canterbury entered a long-term joint partnership with Shenyang Jianzhu University (SJZU) in 2022.

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Chinese students had an option to complete a fourth year of study in New Zealand under a deal between Ara and Shenyang Jianzhu University, but the deal fell over last year. Ara is refusing to release information about the deal, citing commercial sensitivity.

The arrangement, approved by China’s Ministry of Education, was to “co-deliver degree-level qualifications in Information and Communications Technology (ICT) and Construction” to Chinese students by Ara tutors with help from translators. Its first intake of students was in September 2023.

Study was to be completed in China for the first three years, but students had an opportunity to complete their fourth year in English in New Zealand at Ara - known as a 3:1 model - and receive a dual degree from Ara and SJZU.

In 2024, there were 242 students enrolled, and in 2025 this jumped to 479 enrolments across three programmes.

But the arrangement came undone in 2025 when SJZU sought to deliver all four years of the programme in China. Ara needed NZQA approval for the change but could not get the information required to apply. As a result, the partnership ended and eight jobs at Ara were lost.

Ara is withholding information requested by The Press about the failed partnership - citing commercial sensitivity - including how much Chinese students paid in fees to Ara, the financial impact of the failed partnership, and the amount of money spent to date.

A revised, simplified request was also declined, except for the provision of student numbers for 2024 and 2025. The Press is seeking a review by the Ombudsman.

NZQA oversees partnerships involving international students and administers a code of practice for the pastoral care of tertiary and international learners, which Ara has signed up to.

Ara director Deborah Young says the partnership with Shenyang Jianzhu University did not require NZQA approval in its original form.

However, Ara director Deborah Young said NZQA approval was not required for the SJZU deal because Ara was not delivering an Ara or New Zealand qualification offshore.

“Instead, Ara staff were supporting SJZU’s programmes under a joint arrangement.”

NZQA quality assurance deputy chief executive Emily Fabling agreed, saying the arrangement did not fall under NZQA’s rules because the students were not enrolled with Ara.

International Students Association NZ president Ibuki Nishida says there’s pressure on tertiary providers to get more international students.

Crown agent Education New Zealand (ENZ), responsible for implementing the Government’s goal of doubling the value of international education to $7.2 billion by 2034, supported the collaboration when it was established.

Chief executive David Downs said ENZ sent a supporting letter to the China Ministry of Education, at Ara’s request, in 2022.

“Aside from this, ENZ has not had direct contact with Ara regarding this partnership.”

International Education Association New Zealand chief executive Chris Beard said the Government had ambitious plans to grow international education, but insufficient regulation, oversight and investment in the sector had created a high-risk environment.

International Students Association NZ president Ibuki Nishida said the tertiary education sector was chronically underfunded, and under pressure to increase international student enrolments.

“It’s put the responsibility and burden onto this new model … which is basically, ‘well, the Government’s not going to fund us, so we have to get as many international students because that’s the only way we can make up this shortfall’.”

From January 1, Ara began operating as a stand-alone polytechnic following the disestablishment of Te Pūkenga.

Unaudited financial information for the 2025 financial year showed Ara, as a former division of Te Pūkenga, reported a deficit of $11,000. It received $72,140 in Government funding and $46,507 in student tuition fees that year.

SJZU has been approached for comment.