News U.S. Tariffs on Swiss Imports Reduced to 15% Retroactively

A draft statement published on the Swiss government’s website indicated that U.S. tariffs on Swiss goods would be reduced from 39% to 15%, with the decision applied retroactively from November 14. The move is expected to bring major relief to the Swiss watch industry, which has struggled under the weight of the elevated duties. 

Switzerland and the United States reached a deal to cut the tariffs imposed by U.S. President Donald Trump from 39% to 15%, in exchange for a Swiss commitment to invest $200 billion in the U.S. economy. The agreement followed months of negotiations as well as high-level intervention from leading Swiss business figures and CEOs who met with Trump in the Oval Office.

The 39% duties, imposed last August, were among the highest applied to any industrialized nation. The new reduced rate brings Switzerland back in line with other major watchmaking regions, such as the European Union and Japan. The strict U.S. trade measures introduced earlier this year had pushed many leading Swiss brands to increase their retail prices to offset rising import costs—particularly in the U.S., which remains the largest single market for Swiss watches, accounting for around 20% of exports.

Swiss Economy Minister Guy Parmelin confirmed that the reduced tariff rate would apply retroactively from the date of the announcement, describing the agreement as “a major relief for our economy.” He also noted that the additional duties had caused significant damage since their implementation in August. Parmelin added that the visit by Swiss business leaders to the White House last week was “decisive” in sealing the deal.

U.S. Trade Representative Jamieson Greer also confirmed the agreement, while Switzerland’s chief negotiator, Helene Budliger Artieda, described the talks as “difficult and strenuous.” Parmelin added that the new 15% rate places Switzerland on equal footing with the deal the European Union previously secured with the United States.

Under pressure from a strong Swiss franc and record-high gold prices, many Swiss brands had already adjusted their prices and shipped large quantities of stock to the U.S. ahead of the tariff’s implementation. The reduction from 39%—the highest rate applied to any developed nation—marks a significant breakthrough for the Swiss industry.

The agreement also includes reductions in Swiss tariffs on fish, seafood, and certain non-local agricultural products, in addition to granting the United States import quotas for specific types of meats.

Diplomatic momentum accelerated after President Trump attended the U.S. Open tennis final, hosted in the Rolex hospitality suite by CEO Jean-Frédéric Dufour. Days later, Dufour met Trump again in the Oval Office, alongside Richemont Chairman Johann Rupert and representatives from Partners Group, the private equity firm that controls Breitling. Following the meeting, Trump was seen in a photograph in the Oval Office with what appeared to be a Rolex Datejust desk clock—believed to be a gift.

Swiss business federation economiesuisse described the tariff reduction as long-awaited, noting that the surcharges posed an existential threat to several companies. The duties were among the highest levied by the Trump administration on any European nation, sending shockwaves through the Swiss business community.

In the Swiss government’s official statement, it said: “The ordinance on customs duties for goods originating from the United States will come into force retroactively on 14 November 2025,” adding that the measure “provides for the reduction of import duties on U.S.-origin goods covered by Annexes 1 and 2 of the ordinance.”

Swiss industrial federations welcomed the agreement, stressing that it restores competitiveness with European companies already benefiting from the 15% tariff rate. The watch industry now awaits official comments and reactions from Swiss brands in the coming days.