Prime Minister Mark Brown said the accord signed with Beijing offers his small Pacific nation opportunities in trade, infrastructure and the sustainable use of ocean resources.
"We can choose to be a country that relies on handouts and is dependent on our big brother or we can choose to be a country that can stand on its own two feet and can engage in constructive partnerships of mutual benefit," he told parliament.
"Our journey as a self-governing nation is not one of isolation, but of partnership and engagement."
New Zealand has alleged a lack of consultation and transparency over the agreement, signed with Premier Li Qiang during a state visit to China last week.
The self-governing Cook Islands, a country of 17,000 people, has a "free association" relationship with its former colonial ruler New Zealand, which provides budgetary assistance as well as helping on foreign affairs and defence.
The Cook Islands and New Zealand share a "deep and enduring bond", Brown said, describing Wellington as a valued development partner.
But Cook Islanders had also made a "significant contribution" to New Zealand's economy, he said.
"This is not a relationship of one way support, but rather a partnership of shared success."
- 'It's about trust' -
The Cook Islands released a copy of the five-year "action plan" for a comprehensive strategic partnership with China.
It listed areas for cooperation including trade, investment and the "seabed minerals sector", described as a national priority for the Cook Islands.
A spokesperson for New Zealand's Foreign Minister Winston Peters said Wellington looked forward to the release of all signed agreements "without delay" and would engage with the Cook Islands government in the days ahead.
As Brown spoke, protesters rallied outside parliament in support of tight relations with Wellington, some brandishing New Zealand passports, television images showed.
"I am aware that some in our community feel unheard in recent months in recent decisions," the prime minister said.
Cook Islanders hold New Zealand citizenship and travel on New Zealand passports.
China is vying for diplomatic, economic and military influence in the strategically important Pacific, challenging the historic position of the United States, New Zealand and Australia.
Brown said Pacific nations were looking for other countries to "fill the gap" after President Donald Trump pulled the United States out of the Paris climate agreement.
"It was reassuring in my discussions with Premier Li that China will step up in terms of meeting their carbon emissions targets and also in supporting small island states to help build resilience against the impacts of climate change."
The Cook Islands had learned during the Covid-19 pandemic that it must diversify beyond tourism, he said.
- Deep-sea mining -
"We are actively developing our seabed mineral sector under a world leading regulatory framework, ensuring that we strike the necessary balance between responsible resource management and environmental protection."
Cook Islands officials say they discussed seabed minerals research with China during the state visit.
The Pacific nation has licensed three companies to explore the seabed for nodules rich in metals such as nickel and cobalt, which are used in electric car batteries.
Despite issuing the five-year exploration licences in 2022, the Cook Islands government says it will not decide whether to harvest the potato-sized nodules until it has assessed environmental and other impacts.
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