Switzerland’s economy has been hit hard by a new decision from the United States. On Thursday, a steep 39% tariff was officially placed on Swiss exports to the US. This sudden move is causing serious concern across the country, especially in key industries that rely on selling goods abroad. The Swiss government, business groups, and workers are all reacting to the impact.
US Slaps High Tariffs on Swiss Goods
Switzerland is facing a serious economic blow after the United States imposed steep new tariffs on its exports. The US government announced a 39% tariff on goods coming from Switzerland. This heavy tax started on Thursday and is already sending shockwaves through the Swiss economy.
The new tariff rate is one of the highest in the world. It’s even higher than the 31% rate that had been discussed earlier this year. Nearly 60% of Swiss exports to the US are now affected by this change.
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This move has hit Switzerland especially hard because the country relies heavily on trade. In fact, the United States has been Switzerland’s biggest export market since 2021. In 2024, exports to the US made up nearly 19% of all Swiss exports.
Key Swiss Industries Hit Hard
Many important Swiss industries are now under serious stress. These include chemicals and pharmaceuticals, watchmaking, precision instruments, and tech machinery. These sectors form the backbone of Switzerland’s export economy.
A leading Swiss industry group has warned that the new tariffs are a “horror scenario” for the country. It said that if the high taxes stay in place, exports of Swiss technology to the US could come to a stop. The group also raised concerns that tens of thousands of jobs could be at risk.
Another major business organization in Switzerland called the move “unjustified” and said there’s no clear reason why Switzerland is being treated more harshly than other US trading partners like the UK or the EU.
Several smaller industry groups have echoed similar fears, saying the sudden shift leaves businesses unprepared and exposed to losses.
Industry voices agree that these new tariffs are a huge burden on Swiss companies. Many worry that it will make Swiss products too expensive for American buyers, leading to a drop in sales and hurting small and large businesses alike.
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Swiss Government Reacts, Seeks Solutions
The Swiss government has said the tariffs are placing a “substantial strain” on the nation’s economy. Top Swiss leaders, President Karin Keller-Sutter and Vice President Guy Parmelin, recently traveled to the United States in an effort to reduce or remove the new taxes. The talks were held earlier this week, from Tuesday to Wednesday, but the tariffs still went into effect on Thursday.
Government officials have said they regret that the US is moving ahead with such a big increase in tariffs. They noted that the final rate differs greatly from the agreement that had been drafted in July. The Swiss side believed progress had been made in earlier talks, which makes the US decision even more disappointing.
Despite the harsh impact, Switzerland is not planning to hit back with counter-tariffs. The government said it wants to avoid adding more costs to the economy. Instead, it plans to continue diplomatic efforts to resolve the situation.
As of now, industries, workers, and the government are all feeling the heat from these sudden changes. The situation remains tense as businesses try to cope with the rising costs and uncertain future of Swiss-US trade relations.