• Swiss economy minister says deal puts country on 'equal footing' with EU 

GENEVA

Switzerland announced on Friday that it had reached an agreement with the US to reduce US tariffs to 15% from 39%, following what it described as "constructive" discussions with Washington.

"Switzerland and the U.S. have successfully found a solution: U.S. tariffs will be reduced to 15%. Thanks to President (Donald) Trump for the constructive engagement," the government said in a post on US social media company X.

It added that a meeting with the office of the US trade representative, Jacques Greer, had also been "productive."

During a press briefing in Bern, Swiss Economy Minister Guy Parmelin said the new arrangement "puts us on an equal footing with the European Union,” calling it “an important step for our exporting companies and for the stability of our trade relations."

Highlighting several key components of the agreement, in addition to tariff drop, Parmelin said that products already benefiting from exemptions, "pharmaceuticals, certain chemicals, gold, and semiconductors," will continue to do so.

He said Washington would guarantee a ceiling for ongoing Section 232 investigations by saying: "For the ongoing American investigations into pharmaceuticals and semiconductors, known as Section 232, the United States also guarantees a tariff ceiling of 15%. The risk of much higher sectoral tariffs is therefore eliminated."

The minister added that for products where normal US tariffs already exceed that threshold, "only the existing tariff will continue to apply," and that the US will also "suspend additional duties on certain Swiss products deemed important, such as aircraft, generic drugs, and certain aviation-related products."

However, he stressed that negotiations would continue for other products such as industrial machinery, aluminum, or cheese. "Switzerland will continue to work to expand this list of concessions," he said.

On Switzerland’s side, according to the minister, Bern "will maintain the absence of tariffs on American industrial goods."

"In addition, the Federal Council has decided to eliminate tariffs on American fish and seafood, as well as on certain exotic or non-sensitive agricultural products, such as citrus fruits, certain dietary supplements, tobacco products, and coffee," he noted.

Small duty-free quotas will also be introduced "for beef, bison meat, and poultry," Parmelin said, adding that both countries plan to simplify labeling and certification for certain meat and dairy products.

Beyond tariffs, the minister said that the Swiss private sector also plans to invest $200 billion in the US by 2028.

He concluded by saying Switzerland had achieved a "significant improvement in a rapidly changing international environment" and that he was "very satisfied" with the outcome for Swiss businesses and workers.

US Trade Representative Jamieson Greer said earlier that Washington has “essentially reached a deal with Switzerland,” describing the agreement as a major boost for American manufacturing.

Speaking in an interview with CNBC, Greer said he met with Swiss officials on Wednesday and spoke with the president earlier in the day. The deal, he said, will see Switzerland “send a lot of manufacturing here to the United States,” including pharmaceuticals, gold smelting, and railway equipment.

The import tariffs on Swiss products were first announced by the US on April 2.