Swiss Industry Warns of Chaos After Fresh U.S. Tariff Hike

Switzerland’s leading industry body Swissmem has criticised the latest tariff move by Donald Trump, saying it adds to global uncertainty and dampens investment activity. Over the weekend, Trump raised a temporary U.S. import tariff to 15% from 10%, a decision Swissmem said is exacerbating market chaos and creating fresh challenges for exporters.

Switzerland had already faced some of the highest U.S. tariffs in Europe after Washington imposed a 39% duty on Swiss exports last August. In November, Switzerland secured a preliminary agreement reducing levies to 15%, in line with the European Union. Talks are ongoing to formalise that arrangement by the end of March, and Swissmem has urged the government to continue negotiations to ensure legal certainty for businesses.

Although the new 15% tariff may not be stacked on top of the previously agreed rate, Swissmem noted that when combined with a pre-existing 5% duty on industrial goods, Swiss exports could effectively face tariffs of around 20%. The group warned that this would significantly raise prices for American customers, though it acknowledged that similar tariffs on foreign competitors may offer limited relief. Switzerland, for its part, abolished its own industrial tariffs in 2024.

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