The 39-percent trade tariffs that President Donald Trump had imposed on Switzerland in August could soon be slashed, US media reports.
Switzerland made several unsuccessful attempts to persuade Trump to reduce the steep customs duties he had imposed on Swiss imports to the United States – including pleas from President Karin Keller-Sutter and Economy Minister Guy Parmelin.
But now there are indications that the US is ready to relent.
‘We hit Switzerland very hard’
After Swiss business leaders met with Trump last week (and gifted him a Rolex watch and a gold bar), he appears to have softened.
As reported by US media, “the president confirmed that White House officials were working on a deal to get the tariffs a little lower.”
“I haven’t set any number, but we’re going to be working on something to help Switzerland,” he told reporters in the Oval Office.
“We hit Switzerland very hard. But we want Switzerland to remain successful,” he added, saying the country had been a “very good ally.”
The tariff on Swiss exports could be cut to 15 percent, matching the rate that was imposed on EU exports to the US.
Advertisement
Boost to the economy
If that happens – and insiders believe it could happen within days – it would be a big boost to Switzerland’s economy, which has been suffering from the hefty tariffs.
For instance, Swiss exports to the US for the third quarter of this year dropped 8.2 percent, with the watchmaking industry suffering the highest losses.
READ ALSO: Steep US tariffs hit Swiss exports hard, new figures reveal
There have also been indications that a number of Swiss companies were planning to relocate their jobs abroad to avoid being slapped with the steep tariffs.
