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Recent key developments in MAKE│NZ
After experiencing it for yourself recently, would you say the old saying “absence makes the heart grown fonder” is true?
We’re sorry for the delay on your Tuesday (this week Wednesday) Top-Up, exciting things are happening behind the scenes that are keeping us nice and busy.
Continuing on with meeting our Board, this week we have our Vice-President, Mark Hewitt, General Manager of Argus Cabletech, answering our questions:
Can you share a quick summary of your background in manufacturing and what got you interested in the field?
I’ve always had an interest in manufacturing, an influence from my dad who spent the majority of his working career involved in manufacturing too. When I left school, rather than going straight to university, I trained at a technical college for balanced theory supported by hands-on practical. That graduate diploma in Engineering Technology was incredibly insightful. It provided mechanical, electrical, electronic and computer science training. It was such an enjoyable way to learn whilst specialising in manufacturing/engineering rather than an A level approach at the time. Although I went on to specialise further in electrical and electronic engineering to degree level, and worked in several technical roles thereafter, i tended to gravitate toward the client and business interface. Who would have thought, apparently it was difficult at the time to find people with a technical aptitude combined with communication and commercial aptitude. And I’ve continued along similar lines ever since – enjoying making connections for people that have a manufacturing problem to solve.
What got you interested in joining the MAKE│NZ board?
There’s such an amazing business environment in Canterbury. MAKE│NZ provides excellent opportunities to connect with other businesses in both formal and informal ways. I’ve found our members and active attendees to be incredibly supportive, knowledgeable and approachable. Fireside chats, Manufacturing Matters Newsletters, Manufacturing Managers Meetups and other activities encourage ideas for general business improvement and collaboration. There have been many moments of inspiration and real opportunities created through connections made at MAKE│NZ. MAKE│NZ’s entire focus is on manufacturing. If you’re a manufacturer, particularly in Canterbury and you’re not already a member, I’d encourage you to make contact with the team (dieter@makenz.org) and discuss opportunities.
What do you think is the biggest opportunity—or challenge—for manufacturing in the next 5 years?
I feel NZ manufacturing is going through somewhat of a renaissance. Global unrest has reminded folk of the fragility of supply chains that were exposed during Covid. On-shoring has continued to become popular, especially with specialty sectors such as medical, aerospace, defense and similar sectors that require high compliance and trusted management of highly sensitive information. The loss of sovereign capabilities and manufacturing capacity has gained considerable attention by governments and business leaders globally. While it’s unreasonable to expect NZ could sustain all of its own manufacturing needs, there are definite unexplored opportunities for improved supply options from local manufacturers. I’ve also heard a number of stories where NZ manufacturers have taken over the supply of specialty manufactured product into the USA due to tariffs disrupting supply from China.
If you could offer one piece of advice to emerging leaders in manufacturing, what would it be?
Build your trusted networks for support and advice. Keep in regular contact, even when there doesn’t seem to be a compelling need. Keeping in touch helps keep you informed and relevant with industry matters.
Outside of manufacturing, what’s something you’re passionate about that people might not know?
Having moved to NZ around 25 years ago, I’ve thoroughly enjoyed all things outdoors and physical. I certainly wouldn’t describe myself as fit, and I’ve managed a considerable winter layer this year, but I do enjoy the challenge of physical activities. This includes skiing, boarding, roller blading, half marathons (been a while..!!), Grape ride, Motatapu, Great Walks and campervan trips to name a few of those fantastic NZ experiences I’ve enjoyed. I can’t believe how accessible and popular golf is here too, even for exceptionally bad players like myself. Otherwise I balance time with family. With my children now in their early 20’s, I’m all too familiar with the challenges of getting started in a career along with the relatively high expense of education and challenge in getting returns on educational investment.
Recent key developments in New Zealand
•More numbers, with no apology: “The July 2025 year provisionally saw two annual records for New Zealand citizens with:
–73,400 migrant departures, exceeding the previous record of 73,100 in the June 2025 year
-a net migration loss of 47,600, exceeding the previous record of 47,300 in the June 2025 year.
… There was an average annual net migration loss of 26,600 in the July years (2002 to 2013) and net migration loss of 5,700 in the July years (2014 to 2019).” Statistics NZ. What may or may not come as even more of a surprise is that for the past 24 years, and except for the COVID-19 pandemic, we’ve had a net loss of New Zealand citizens through emigration for every single month of every year. Sometimes very small, and never as big as for the two most recent years.
To put this in perspective, if all of those net losses were from the manufacturing sector – and they aren’t, fortunately – that would mean 1 in every 5 manufacturing employees would have left the country.
58% of those 73,400 New Zealand citizens that emigrated in the year to July 2025, went to Australia. We don’t have any data on how many of those were employed in manufacturing before they left.
•More on energy – natural gas this time: Brookfields must know something we don’t …
The graph above shows net natural gas historical production and projections based on MBIE’s forward assessments on the dates shown in the graph of known and probable reserves. Based on the 2025 projection, there are reserves of “948 PJ, a drop of 27% on 1 January 2024 figures. While some of this drop was due to natural gas extracted for use over the course of 2024, around 66% of the drop is due to gas field operators revising their estimates of field reserves.”
Major gas users have already reduced production (Methanex) or are using another fuel source (Genesis at Huntly – coal). For other manufacturers, one might suspect that those with high rates of gas used for process heat will already have started to plan for a switch to other sources of energy. However, converting a natural-gas boiler to coal or wood pellets is technically very difficult and almost never done in practice.
•“Responding to reports that Nestlé has withdrawn from the Dairy Methane Action Alliance, ACT Agriculture spokesperson Mark Cameron says it shows why New Zealand needs to rethink its approach to climate.” That’s from an ACT Party media release, which continues to quote Mr Cameron saying that “the global tide turns on unaffordable international agreements.” Mr Cameron might be forgiven for forming that perception. What with the New Zealand government about halving its methane targets, the US government pulling the rug from underneath wind and solar projects, European pushbacks on the ban of ICE-powered cars by 2035 and growing pressure to rescind the recent IMO decision aimed at reducing global greenhouse gas emissions from the international shipping sector.
Is the global tide really turning? According to the latest Renewables Report issued by the International Energy Agency [IEA], in 2024 the global share of renewable energy in power generation was 32%, forecast to rise to 43% in 2030. Here’s the IEA’s forecast breakdown for the generation of electricity from renewable sources out to 2030:
However, fossil fuels will still be the dominant source of energy for both the transport sector, and heat. Renewables are set to increase their share in energy demand in the transport sector from 4% today to 6% in 2030; for heat the figures are 14% and 18%, respectively.
If we look at a breakdown of installed capacity by country / region, we can see China’s dominant position – n.b. the different scales used for China, and the other regions / countries. Note also the fast rise in India – the country has achieved 50% of its installed electricity capacity from non-fossil fuel sources — five years ahead of its 2030 target under the Paris Agreement, signalling accelerating momentum in the country’s clean energy transition. Because of their population size, progress towards a reduction in the use of fossil fuels in these two countries will be all-important globally.
Recent key developments in the World
•Among the things that we hear about being rolled back (“the global tide is turning”), corporate sustainability programmes feature quite prominently – see here, and here, for examples. Not all companies are following that trend, however. Komatsu, for example, in their latest annual report, spend a lot of time demonstrating that they pay attention to the impact of their products and activities on and beyond the immediate customer.
They provide a specific example of that for their FrontRunner Autonomous Haulage System [AHS]:
The methodology used for this by Komatsu was developed by the International Foundation for Valuing Impacts [IFVI], an independent nonprofit organisation bridging the gap between financial accounting and impact measurement. Founded in 2022, IFVI grew out of the Impact-Weighted Accounts Project at Harvard Business School. IFVI is now part of the Capitals Coalition.
•“Every individual… neither intends to promote the public interest, nor knows how much he is promoting it… he intends only his own security; and by directing that industry in such a manner as its produce may be of the greatest value, he intends only his own gain, and he is in this, as in many other cases, led by an invisible hand to promote an end which was no part of his intention.”
Adam Smith in The Wealth Of Nations (1759), Book IV, Chapter II, p. 456, para. 9.
COPENHAGEN, Oct 9 (Reuters) – Maersk shares fell on Thursday on expectations a Gaza ceasefire deal could eventually restore container shipping routes through the Red Sea and Suez Canal, easing a capacity crunch that has supported freight rates.
Speaking of which, here are the latest Drewry Container Rates:
Hopefully this will (ultimately) also result in lower freight costs for our manufacturing exporters.
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