ZURICH — The US will slash its tariffs on items from Switzerland to fifteen % from a crippling 39 % beneath a brand new framework commerce settlement that features a pledge by Swiss corporations to speculate $200 billion into the U.S. by the tip of 2028, the Swiss authorities mentioned on Friday.
“This settlement places Switzerland on an equal footing with the European Union and brings the tariff degree down from 39 % to fifteen %,” Swiss Financial system Minister Man Parmelin mentioned in saying the deal, which impacts about 40 % of Switzerland’s exports.
“After all, we would favor (the $200 billion) to be invested in Switzerland,” Parmelin added. “And that’s why the Federal Council in parallel is doing all the things to see how we will cut back prices for our companies.”
U.S. Commerce Consultant Jamieson Greer mentioned earlier that the White Home would announce particulars afterward Friday.
The decrease tariff charge is prone to be activated inside “days, weeks,” as quickly because the U.S. customs processing techniques might be adjusted, mentioned Helene Budliger Artieda, director of Switzerland’s State Secretariat for Financial Affairs.
She added that a big portion of Swiss investments in U.S. manufacturing would come from the prescribed drugs and life sciences sectors, however declined to supply specifics. Prescription drugs is by far the most important export sector from Switzerland to the U.S.
Greer informed CNBC the deal would contain Switzerland shifting “plenty of manufacturing right here to the US – prescribed drugs, gold smelting, railway gear. So we’re actually enthusiastic about that deal and what which means for American manufacturing.”
Pharma tariffs capped at 15 %
The deal ensures a 15 % tariff ceiling for Swiss drugmakers, together with Roche and Novartis from U.S. President Donald Trump’s forthcoming Part 232 nationwide safety duties for the sector, which may attain one hundred pc for sure patented medicine.
Parmelin mentioned the 15 % cap would additionally apply to different future Part 232 duties, together with semiconductors, placing it on the identical footing because the EU.
“The danger of a lot greater sector-specific tariffs is subsequently dominated out,” Parmelin added. A Swiss authorities assertion mentioned the tariff settlement, which incorporates neighboring Liechtenstein, will cut back Swiss import duties on U.S. industrial merchandise, fish and seafood and agricultural merchandise “that Switzerland considers non-sensitive.”
Switzerland will grant the U.S. duty-free bilateral tariff quotas on 500 tons of beef, 1,000 tons of bison meat and 1,500 tons of poultry meat, the federal government mentioned.
Degree enjoying discipline with EU
Swiss industrial teams welcomed the deal, saying it could put them on a degree enjoying discipline with opponents from the European Union, which agreed to a 15 % tariff on EU exports to the U.S.
“For the commercial sector, which was topic to a 39 % tariff since August 1, that is excellent news. For the primary time, we’ve the identical situations within the U.S. market as our European opponents,” mentioned Nicola Tettamanti, president of Swissmechanic, which represents small and medium-sized producers.
“It is an amazing aid on tariffs, however extra financial burdens and dangers for Switzerland stay,” mentioned Hans Gersbach, a director of the KOF Swiss Financial Institute at ETH Zurich.
Switzerland’s equipment, precision devices, watchmaking, and meals sectors, which export to the U.S., would see essentially the most aid, Gersbach mentioned.
KOF forecasts Swiss financial development of 0.9 % in 2026, however this is able to exceed 1 % with the decrease tariff charge, he added.
Switzerland had a $38.3 billion items commerce surplus with the U.S. in 2024, in accordance with U.S. Census Bureau knowledge. This rose to $55.7 billion in 2025 by way of July, reflecting primarily the front-loading of U.S. imports from Switzerland in the course of the first quarter, earlier than Trump imposed his “reciprocal” tariffs in early April.
Nadia Gharbi, an economist at Swiss financial institution Pictet, mentioned the tariff discount eliminated the principle draw back dangers for the nation’s financial system and represents a clearly constructive improvement for Swiss industries and for the general development outlook.
“Below the earlier tariff regime, Switzerland suffered a major lack of competitiveness — not solely due to the power of the Swiss franc, but in addition as a result of neighboring European economies have been topic to tariffs of solely round 15 %,” she mentioned.
Swiss trade on Friday reported a 14 % fall in exports to the U.S. in the course of the three months by way of September, expertise trade affiliation Swissmem mentioned, whereas machine instrument makers noticed shipments hunch 43 %.
