New Zealand established its embassy in Tehran in 1975, marking it as the first diplomatic mission in the Middle East, which indicated Iran's importance as a trading partner at that time.

[2][3] However, by the late 20th century, trade dynamics changed due to political developments, such as the Iran-Iraq War and subsequent international sanctions against Iran.

[citation needed] Relations have encountered significant challenges, especially after the United States withdrew from the Joint Comprehensive Plan of Action in 2018, which resulted in renewed sanctions on Iran.

[6] As of 2024, New Zealand has taken a firm stance against Iranian governmental actions, including condemning its military strikes against Israel and supporting international resolutions against Iran’s human rights violations.

[6] In July 2022, two social media influencers and New Zealand citizens, Christopher Richwhite and Bridget Thackwray, were detained by authorities upon entering Iran.