Switzerland’s government has rushed to offer US President Donald Trump a “more attractive” deal to cut tariffs on Swiss goods, which are set to be hit with a 39% tariff in the United States starting August 7. The Swiss government said it had no indication that the country would face such a high tariff rate, contrary to what Mr. Trump claimed.
The Swiss economy minister, Guy Parmelin, held an emergency meeting and announced plans to present Washington with a revised offer before the tariff takes effect. However, no details were given on what the offer entails.
The Swiss government believes it had a good negotiation track record with US officials, including Trade Representative Jamieson Greer and Commerce Secretary Howard Lutnick. They had aimed for a 10-15% tariff but acknowledged that the final decision rested with President Trump.
Mr. Trump’s decision to target Switzerland with a high tariff rate was attributed to the country’s significant trade deficit of $38.5 billion last year. However, the Swiss government has pointed out that two-thirds of its exports to the US are gold bullion and bars refined in Swiss foundries, which would be exempt from the tariffs.
The Swiss government is taking measures to shield the economy from job losses caused by the new tariffs, including preparing support for companies affected by the changes. Industry groups have warned that a 39% tariff would have a significant impact on the Swiss watch industry and the economy as a whole.
A study by the KOF Swiss Economic Institute estimates that a 39% tariff could subtract 0.3% from Swiss economic growth, costing each citizen around $371 per year.
Source: https://www.nytimes.com/2025/08/04/business/switzerland-tariffs-trump.html