US confirms tariff elements of trade deal with Switzerland

WASHINGTON: The U.S. Trade Representative on Wednesday announced the implementation of tariff-related elements in a trade agreement framework reached with Switzerland and Liechtenstein in November.

The tariff rates announced on November 14 will be retroactive to that date, according to a post in the Federal Register.

The notice amends the U.S. tariff schedule to apply either the most-favored-nation tariff rate or a 15% rate, whichever is higher, to goods from the two countries.

It also adjusts tariffs on certain products including some agricultural goods, unavailable natural resources, aircraft and aircraft parts, and generic pharmaceuticals and their ingredients and chemical precursors, the notice said.

The United States agreed to these modifications with the expectation that the trade agreement will be finalized by March 31. If that does not occur, the U.S. will review and consider the tariff rate modifications, the notice said.

The framework trade agreement announced by the United States and Switzerland last month included Washington slashing its tariffs on imported Swiss products to 15% from 39% and a pledge by Swiss companies to invest US$200 billion in the U.S. by the end of 2028.