Tensions and fears are running high in Switzerland, as the deadline to strike a trade agreement with the U.S. looms just days away.
Without a deal, Switzerland faces 39% duties on its goods imported into the U.S., after it was hit with one of the highest new tariff rates under U.S. President Donald Trump’s latest trade policy shift last week. The higher duty surprised many, as widespread reports had previously suggested a trade agreement was near, and was just missing Trump’s signature.
Over the weekend, reports emerged that the higher tariffs followed a disagreeable Thursday phone call between Swiss President Karin Keller-Sutter and Trump — which Swiss officials rejected, according to Reuters. The Swiss Federal Chancellery did not immediately respond to CNBC’s request for comment.
Guy Parmelin, Swiss federal council member and head of the Department of Economic Affairs, Education and Research, told local media that the government was open to tweaking its proposal to the U.S. — but that it may prove difficult to finalize by the Aug. 7 deadline, Reuters reported.
Swiss leaders are set to meet Monday to discuss the latest developments.
