Historic US-Switzerland Trade Agreement Slashes Tariffs to 15%
The United States and Switzerland have announced a groundbreaking trade agreement that will dramatically reduce tariffs on Swiss goods from a punishing 39% to 15%. This brings relief to the Alpine nation after months of economic pressure. U.S. Trade Representative Jamieson Greer confirmed the deal on Friday, stating “we’ve essentially reached a deal with Switzerland.”
The agreement includes a massive investment commitment from Swiss companies, who pledged to invest $200 billion in U.S. manufacturing by the end of 2028. This will include:
- Pharmaceutical production
- Gold smelting
- Railway equipment manufacturing facilities on American soil
Swiss pharmaceutical giants like Roche and Novartis will benefit from the 15% tariff ceiling, matching the treatment given to European Union exports.
President Trump’s administration had imposed the 39% tariff in August 2025, among the highest levied on any developed nation. The new framework agreement aims to eliminate the $38.5 billion U.S. trade deficit with Switzerland by 2028. Swiss Economy Minister Guy Parmelin said the deal will provide relief for about 40% of Switzerland’s total exports, including:
- Watches
- Pharmaceuticals
- Precision machinery
Source: CNBC