Defence Minister makes NZ’s Case at Shangri La.

Chris Penk did not have an easy act to follow. When the NZ Defence Minister took the stage at the Shangri-La Dialogue in Singapore on Saturday, he did so for the very first time, and in the Dialogue session straight after US Defence Secretary Pete Hegseth had told a room full of the region's most senior security officials  that New Zealand's defence spending ambitions amounted to "freeloading."

The word had landed like a stone. Hegseth's morning address, which set a benchmark of 3.5 percent of GDP for what he called "model allies" worthy of US arms, intelligence and industrial partnerships, had, after being pulled up on it, singled out New Zealand's plan to reach two percent of GDP over eight years as falling short. "Two percent is not enough, and so two percent is freeloading," he said.

The omission of New Zealand from his list of praised Indo-Pacific partners Australia, Japan, South Korea, the Philippines and others had not gone unnoticed.

Penk chose not to ignore it. Before moving to his prepared remarks, the minister addressed the exchange directly, if carefully. "It seems to me I'd be remiss if I didn't take the opportunity to acknowledge the exchange, not exactly by way of right of reply, but with a Kiwi journalist having understandably asked Secretary Hegseth for his observations on New Zealand."

His response was built on three pillars: presence, people and platforms. It was a deliberate reframing, shifting the value of the NZ alliance from raw spending percentages to a broader accounting of contribution.

Penk pointed to New Zealand's long and bloody history of deploying to conflicts and crises around the world, arguing that Wellington had consistently turned up "on the side of right" across generations. He cited the current deployment to Eastern Europe to help train Ukrainian forces fighting Russia's invasion as evidence that New Zealand's commitment to the international rules-based order was not merely rhetorical. "Geographically distant as this conflict may be to New Zealand," he said, "it is important for doing the right thing."

On people, he noted that New Zealand Defence Force personnel had maintained a strong reputation among partners, as credible, capable operators in combat, peacekeeping and joint exercises alike. "I have heard from many of you," he told the forum, "that they are very well regarded." He went on to commit that those personnel will remain well resourced.

On military platforms, Penk acknowledged the spending question head-on. "Yes, it is true we are doubling our defence spend as a percentage of GDP," he said, but framing the increase as decisive rather than incremental, and as a floor not a ceiling. He added that the government was simultaneously focused on maximising the combat capability of existing platforms.

Earlier this month he had announced progress on replacing New Zealand's ageing frigates, a long-deferred investment that signals a more realistic commitment toward maritime security in the geo-political reality of 2026.

Beyond the immediate diplomatic context, Penk's speech outlined a coherent strategic rationale for New Zealand's engagement in the Indo-Pacific. The region, he said, was not peripheral to New Zealand's interests, quite the opposite. It represents New Zealand's largest trading region, and the country's energy, food and supply chain security depends on sea lanes that run through it. "What happens in this region does matter to New Zealand," he said. "It matters deeply."

He pointed to New Zealand's debut in Exercise Balikatan in April for the first time, alongside Australia, the United States, Japan, the Philippines, France and Canada, as evidence of a deliberate effort to deepen Indo-Pacific engagement.

He also referenced INTERFET, the multinational force deployed to East Timor 25 years ago, as a template for the kind of partnership New Zealand brings: "transparency, respect, and regional cooperation."

The Pacific, he emphasised, remained New Zealand's primary operational focus, making an important distinction from the broader Indo-Pacific framework that dominates conversations at forums like Shangri-La.

Wellington's role as a security partner for the Pacific Island nations, including through humanitarian assistance and disaster relief, represents a contribution that does not easily translate into GDP percentages but carries some real strategic weight.

What Penk did not do was challenge Hegseth's comments directly. He did not dispute the spending expectations Washington has set, nor did he argue that two percent should be considered sufficient. The tone throughout was constructive rather than defensive, as the Defence Minister tried to add context to the numbers rather than argue with them.

The diplomatic work continued after the formal sessions ended. Penk and Hegseth met privately later on Saturday to discuss the issues raised by the morning's exchange, and a conversation that both sides will have wanted to have away from the microphones.

The substance of that meeting was not disclosed, but it’s very occurrence signalled that Wellington is taking the pressure seriously and that Washington, despite the pointed public language, remains willing to listen to the Kiwi perspective.

Asia Media Centre