Winston Peters expresses no concern over China's new ethnic unity law

Foreign Affairs Minister Winston Peters says he's not by concerned by China's new ethnic unity law, stressing it has no power or authority in New Zealand.

It comes after Australia's government lodged objections with Beijing about the legislation and its potential to "curtail the rights and freedoms of individuals beyond China's borders".

But speaking at Parliament on Wednesday, Peters told RNZ the law was "no concern at all" as it had no standing outside China, regardless of what it might say.

"You might make the claim, but it doesn't apply," he said. "Neither in New Zealand, Australia, the United States, UK or anywhere else."

Asked whether he would raise the issue with his Chinese counterpart, Peters replied: "It doesn't have any standing, so why would I raise it?"

"If you're coming to New Zealand, well, you sign up to New Zealand's law and New Zealand's flag and New Zealand's democracy. Otherwise, don't come."

China's Ethnic Unity and Progress Promotion law sets out Beijing's vision of a "shared" national identity, requiring governments, schools and public institutions to promote ethnic integration and loyalty to the state.

Beijing says the law will foster social cohesion and national unity, but rights groups argue it further entrenches policies aimed at assimilating ethnic minorities.

It also includes a clause stating that people and groups beyond China's borders can be held legally accountable for undermining ethnic unity and progress.

Earlier on Wednesday, ACT MP Laura McClure told Midday Report she would be emailing Peters to ask him to raise the matter directly with China.

"[The law] is a suggestion that Beijing believes it can reach beyond those borders and potentially intimidate or punish people living in free democracies like New Zealand or Australia or Canada."

McClure - who's a member of the Inter-Parliamentary Alliance on China - warned of the implications for Chinese people living in New Zealand.

"There are groups already in New Zealand that feel that they can't freely... go to a protest, for example, or attend a Taiwanese event without feeling the intimidation from the Chinese government.

"It's really important that we don't see an escalation in that behaviour because of this potential legislation.

"And I think we should make it very clear to the Chinese government that New Zealand is sovereign and we do have our own domestic laws here. And we do protect the rights and freedoms of New Zealanders, no matter if they're born here or if they immigrate here."

McClure was among the four New Zealand MPs banned from entering China for a year after a visit to Taiwan.