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Jacinda Ardern says New Zealand's no-nuclear line on AUKUS subs met with 'understanding and appreciation' in Australia

New Zealand Prime Minister Jacinda Ardern's latest trip to Australia has been firmly focused on trade and tourism. (Reuters: Yiming Woo)

New Zealand Prime Minister Jacinda Ardern has reaffirmed her country's long-standing policy of not allowing nuclear-powered vessels in its waters, saying the rule was well understood in Australia.

Asked by 7.30 host Sarah Ferguson if there were "any circumstances" in which an Australian nuclear-propelled submarine might dock in a New Zealand port in the future, Ms Ardern said the policy was set.

"But, actually, you know, I've only ever encountered understanding and appreciation of that position," she said.

"We've taken a strong, principled position and we'll continue to do so. That doesn't change the relationship we have with Australia or their understanding of our position."

Ms Ardern has been in Australia this week for her second meeting with Prime Minister Anthony Albanese as well as meetings with state premiers.

Jacinda Ardern was the first foreign leader to visit Australia after Anthony Albanese won the election in May.  (AAP: Mark Baker)

Australia plans to acquire nuclear-powered submarines — but not nuclear-armed — some time in the 2030s or 2040s, through a technology transfer under the AUKUS security pact with the United Kingdom and the United States.

A contract with a specific supplier is yet to be finalised.

The UN's nuclear watchdog is the International Atomic Energy Agency (IAEA). Its director-general, Rafael Grossi, has also been in Australia this week for preliminary talks on the technical details of an inspection regime for the future submarines.

Watch Sarah Ferguson's interview with Rafael Grossi, the director-general of the International Atomic Energy Agency.(ABC: 7.30)

"In this case, it is a complex thing to do because we are talking about a vessel – a vessel that goes out in the seas for long periods of time," Mr Grossi said. 

"So, we have to find ways around that fact, for our inspectors to be able to ascertain that the nuclear material loaded into the ship is there when it comes back to shore."

A question of neutrality

Ms Ardern was also asked about a recent security pact struck between Solomon Islands and China, which some analysts warn could provide a pretext for the basing of Chinese troops or vessels in the Pacific Island nation.

The Solomon Islands government has repeatedly ruled out a military base.

The security pact between China and Solomon Islands was signed in April. (Supplied: Chinese Embassy Solomon Islands)

"We've been very clear that we're opposed to the militarisation of the region. But look, you know, we can take that position in a country-neutral way," Ms Ardern said.

Jacinda Ardern says New Zealand is opposed to a militarisation of the Pacific region.(ABC: 7.30)

Asked if New Zealand would join Australia in increasing its defence capability in response to China's military expansion, Ms Ardern said it was up to Australia to explain its own rationale for its defence strategy.

New Zealand's defence policy would remain "Pacific-focused", she said.

Ferguson asked the New Zealand PM if she had now "moved beyond" neutrality on China, citing her participation in recent North Atlantic Treaty Organisation (NATO) talks.

NATO has declared China a security challenge for the first time in its official strategic documents.

This year's NATO's summit was centred around Russia's invasion of Ukraine and Beijing's growing international ambitions. (AP: Olivier Matthys)

"I think it's important not to confuse the term 'country-neutral' with neutrality, or not entering into the fray on foreign policy issues as they emerge," Ms Ardern said.

"When we talk in that way, the point we're making is we have a very strong set of values.

"And, actually, it's not about targeting any one individual country.

"If we see others who don't share those values and breach, for instance, the international rules-based order, we will speak up about that."

Ms Ardern said she had "pushed back" on the idea that the Solomon Islands deal had blindsided Australia and New Zealand, and represented an intelligence failure.

Foreign Affairs Minister Penny Wong recently made a trip to Solomon Islands, and has already met with leaders in Fiji, Samoa and Tonga. (ABC News: Chrisnrita Aumanu-Leong)

"I feel that doesn't acknowledge the sovereignty of Pacific Island nations to determine their own relationships," she said.

She said China pursuing closer ties with Pacific Island nations was not a new phenomenon and that Solomon Islands had been on a "trajectory" of closer links with Beijing over a "number of years".

Watch 7.30's full interview with Jacinda Ardern tonight on ABC TV and ABC iview.

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