Geneva: The US tariffs place “a substantial strain” on Switzerland’s export-oriented economy, the Swiss government said, vowing to continue negotiations with the US to reduce the 39 per cent additional tariffs imposed on the country, which came into force Thursday.
The decision was made following the trip of a Swiss delegation to the United States from Tuesday to Wednesday, led by President Karin Keller-Sutter and Vice President Guy Parmelin, the Federal Council said in a statement.
The 39 per cent tariff rate, announced by US President Donald Trump on July 31, was one of the highest globally and also higher than the 31 per cent rate threatened by Trump in early April, Xinhua news agency reported.
Nearly 60 per cent of Swiss exports to the US are subject to the new tariffs, which are “particularly steep” compared with other US trading partners such as the European Union and Britain, the statement said, adding that it is not considering tariff countermeasures for fear of “additional costs on the economy.”
According to Swiss customs data, the US has been Switzerland’s biggest export market since 2021, with Swiss exports to the United States accounted for 18.6 per cent of the country’s total exports in 2024.
The US also stood as the top market for major Swiss industries including chemicals and pharmaceuticals, watchmaking and precision instruments in 2024.
The new tariffs have triggered backlash and concerns across the country.
Zurich-based Swissmem, an association for Switzerland’s mechanical and electrical engineering (MEM) industries, said on Thursday that the “horror scenario” has become a reality, calling for urgent measures from the government.
It noted that if the tariffs remain in place, Swiss tech exports to the US will be brought to a standstill.
In an earlier statement, it also said the tariffs will hit the economy hard and endanger tens of thousands of jobs in the country.
Meanwhile, other industry organizations have slammed the US tariffs as “dangerous” and “unjustified.”
Economiesuisse, an umbrella organization for the Swiss business sector, said that there is “neither justification nor any understandable reason” why Switzerland should be subject to one of the highest tariff rates in the world.
The tariffs represent a “very serious burden” for Swiss export businesses, it noted.
The Swiss government has earlier expressed “great regret” that the US intends to impose unilateral additional tariffs despite the progress made in bilateral talks.
It noted that the tariff rate announced by Trump differs “significantly” from the draft joint statement approved by the Swiss authorities on July 4 following talks over the past months.
(IANS)
