NELSPRUIT, South Africa (AP) — Defending champion Italy were held to another 1-1 draw yesterday, this time by New Zealand, in the latest World Cup surprise.

The 78th-ranked All Whites took the lead in the seventh minute when the ball glanced off 36-year-old Italy captain Fabio Cannavaro, gifting a goal to Shane Smeltz. A long free kick from Simon Elliott sailed deep into Italy’s area, deflected off Cannavaro’s hip and went directly toward the waiting Smeltz for the tap in.

Riccardo Montolivo hit the post for Italy in the 27th, and Vincenzo Iaquinta equalised two minutes later with a penalty, after Tommy Smith was shown a yellow card for tugging down Daniele De Rossi inside the area.

“We’re just sorry we didn’t win a match we could have,” Italy coach Marcello Lippi said. “If we didn’t win against New Zealand it’s our fault. Once again the opponent scored on their first chance. We were able to control the game after that, but this was a match we should have won.”

Iaquinta appeared to celebrate as if he were blowing a vuvuzela, the plastic trumpets that have become a symbol of the World Cup.

At the final whistle, however, the celebration was located in one corner of the Mbombela Stadium, where a small section of New Zealand fans marked their country’s historic result by taking their shirts off and waving them around deliriously.

“I think that stopped the nation,” New Zealand coach Ricki Herbert said. “It’s the most incredible result we’ve had across the board. As a football coach, it’s way above anything we’ve achieved in the history of the game.

“We are always daring to dream. At the World Cup anything is possible — we’ve seen some strange results — but nothing as big as that one.”

Iaquinta complimented New Zealand’s defence and called it a shame to draw.

“We’ve got to keep our heads up and move on,” he said.

Long after the game ended, New Zealand fans remained inside the stadium, moving down to the lower level to continue celebrating, waving flags and blowing on vuvuzelas as the All White reserves played a training match.

Playing in only their second World Cup — having lost all three of their matches in 1982 — New Zealand gained a point for the second consecutive game after also drawing 1-1 with Slovakia in their opener.

New Zealand goalkeeper Mark Paston was virtually flawless, preserving the draw with a leaping save on a long, powerful effort from Montolivo in the 70th.

Italy controlled virtually throughout, but New Zealand nearly won when substitute Chris Wood sent an angled shot just wide in the 83rd.

Paraguay lead Group F with four points, followed by Italy and New Zealand with two points each. Slovakia are last with one point.

Italy meet Slovakia in their final group match on Thursday. New Zealand face Paraguay.

Italy were also held to a 1-1 draw by Paraguay in their opener. The Azzurri looked sharper than they did against the South Americans but couldn’t beat the physical and tall New Zealand players in the air and again had a tough time weaving their way through to the goal.

Lippi lamented the way his players continually resorted to high balls, something he had been wary of in the match buildup.

Italy also struggled in the air against New Zealand a year ago, falling behind twice before pulling out a 4-3 win in a friendly before the Confederations Cup.

“They weren’t as lucid or as enterprising as they should have been,” Lippi said of his players. “Again we were very unfortunate. It’s not like we didn’t do great things, although you always need to do more.”