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AAP
AAP
Ben McKay

New Zealand bemused by Australia's best friend debate

New Zealand Prime Minister Chris Luxon says Australia is his country's closest friend in the world, and doesn't mind if Australia nominates another nation as theirs.

Kiwi politicians are bewildered to have found themselves involved in a spat over Australia's closest friend in the world.

The unlikely topic was thrown into the fray on Monday when Trade Minister Don Farrell responded to a question from Tasmanian Senator Claire Chandler, who asserted the United States was Australia's "most trusted international partner".

"I'm not sure that the United States is our most trusted ally," Senator Farrell told the Senate.

"I would have said New Zealand, in the whole history of time. I would have said our closest international ally is New Zealand."

In New Zealand, the response was either delight to be nominated or befuddlement at a debate.

Kiwi Foreign Minister Winston Peters claimed credit for NZ's ascension to the top of the government's list after a joint trip with the defence minister in January.

"The meeting with Judith Collins and myself with our counterparts in Melbourne has had an explosive effect on our relationship," he said, laughing.

"There can't be any doubt about that. We're making some real real rapid progress here."

Ms Collins said Australia was NZ's best friend, saying it "certainly has been for many, many years".

Mr Luxon didn't skip a beat when asked who NZ's best friend was - "it is Australia" - with hopes the friendship could get stronger still.

"We want to step up our engagement with Australia. We want to see more alignment on security, defence and intelligence," he said.

"We certainly want to be good partners in the Pacific.

"And importantly, we think there's still opportunity for us to expand and develop the single economic market."

Mr Luxon said he wouldn't feel scorned if Australia instead saw the US as its most trusted partner.

"That wouldn't surprise me. They have a strong relationship, a longstanding relationship and an ally relationship whereas our ally relationship, our sole ally, is Australia," he said.

Whereas Australia has defence agreements with both NZ and the US, Wellington is allied solely to Canberra.

While that makes naming a best friend an easy answer for Kiwi politicians, the choice on offer to Australians has provoked debate.

Senator Farrell's response infuriated the opposition, led by Foreign Affairs Spokesman Simon Birmingham.

"What Don Farrell did was quite insulting to the United States, and he ought to apologise for it," he told Sky News.

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