New Zealand’s Terms of Trade Index deteriorated sharply in the second quarter of 2026, with the indicator dropping by 9.0% quarter-over-quarter, according to data updated on 2 September 2026. This marks a significant acceleration in the decline compared with the first quarter of 2026, when the index fell by 2.0% on a quarter-over-quarter basis.
The figures underscore mounting pressure on New Zealand’s trade position over the first half of 2026. While the first-quarter decline already signaled a weakening in the country’s relative export purchasing power, the steeper fall in the second quarter points to a more pronounced deterioration in the ratio of export prices to import prices. The quarter-over-quarter comparison shows that the downturn in terms of trade has intensified from one quarter to the next, potentially weighing on incomes generated from international trade and broader economic performance.
