Switzerland President Karin Keller-Sutter, after a press conference after a meeting with US officials on customs duties in Geneva on May 3, 2025 (AFP / Fabrice Coffrini)
The President of Switzerland and her Minister of Economy arrive on Tuesday in Washington to try to negotiate with Donald Trump, in a tight countdown before Thursday’s deadline for customs duties, scheduled for 39% for Swiss products arriving in the United States.
In a statement published on Tuesday, the Federal Council (Government) announced that Karin Keller-Sutter, the president of the Confederation, also Minister of Finance, as well as Guy Parmelin, the Minister of Economy, go to Washington “in order to obtain interviews with the American authorities” to discuss customs duties.
“The objective is to present in the United States a more attractive offer, which makes it possible to reduce the amount of additional customs duties applied to Swiss exports, while taking into account the concerns of the United States,” said the press release.
No appointment is planned “for the moment” with Donald Trump, said a White House manager at AFP.
Ms. Keller-Sutter and Mr. Parmelin arrive in Washington “accompanied by a small delegation” including two secretaries of state, details the press release.
Switzerland was struck by the announcements of the White House last week which noted the customs duties applicable to Swiss products at 39%, against 31% initially scheduled for early April.
The Alpine country was all the more surprised since the government had immediately chosen the negotiation way after Donald Trump had nicknamed the “Liberation Day” (Liberation Day).
This level, much higher than the 15% that will be applied to European Union products imported to the United States, arouses strong concerns among Swiss companies.
– Watches and drugs –
In a statement published Monday after a crisis meeting, the Federal Council argued that almost 60% of Swiss goods exports to the United States are likely to be struck by these additional customs duties of 39%.
The president of Switzerland Karin Keller-Sutter (right) and the Swiss Minister of the Economy, Guy Parmelin, during a press conference after a meeting with American officials on customs rights, in Geneva on May 3, 2025switzerland’s President Karin Keller-Sutter (R) and Switzerland’s Economy Minister Parmelin Delive a speech Conference and following A Meeting to Discussion Relations and Tariffs, in Geneva, On May 9, 2025. Switzerland and the United States Agreed to Speed Up Talks on Striking A Deal on Washington’s Tariffs, The Swiss President Said Following A Meeting With Top US Officials. (AFP / Fabrice Coffrini)
The government met on Monday at a distance for an extraordinary session in the face of the emergency of the situation to find a solution by August 7.
The United States is a key partner in Switzerland, trade between the two countries “quadrupled in the past 20 years,” the Federal Council said on Monday.
Switzerland is the sixth largest foreign investor in the United States and even occupies “first rank” in terms of research and development investments, did not fail to recall the Swiss government.
According to customs statements, the United States captured 18.6% of Switzerland’s goods exports in 2024, which mainly exports drugs. In addition, industrial machines, coffee capsules and emblematic products from Switzerland such as watches, cheese and chocolate.
Watchmaking is one of the sectors that may be hard hit, since watches are produced in the country to be able to affix the “Made in Switzerland” label (made in Switzerland), considered to be the pledge of their high quality.
In an interview published Monday evening by the Swiss daily newspaper Le Temps, the owner of the Swatch group Nick Hayek called the Confederation President to go in person to Washington.
President Donald Trump is expressed at the White House on July 31, 2025 in Washington (AFP / Jim Watson)
“Our President Karin Keller-Sutter must react and find a solution in person and on the spot,” added the owner of the watchmaking group.
According to the calculations of the professor of economics Hans Gersbach, these customs duties at 39% could cost between 0.3% and 0.6% of annual growth in Switzerland. The impact on its gross domestic product (GDP) could even climb “at least 0.7%”, according to the fate reserved for pharmaceutical products, a pillar of the Swiss economy, he warned.
In an interview Tuesday with the CNBC television channel, Donald Trump spoke of a surcharge which he intends to impose on pharmaceutical products.
“We will, first, put a low customs right on pharmaceutical products, but, in a year, a year and a half maximum, it will be 150% and then it will be 250% because we want drugs made in our country,” he said.