US Imposes a 39% Tariff on Swiss Imports: Swiss Watch Industry Braces for Major Economic Impact

On Switzerland’s National Day, the Trump Administration announced a 39% tariff on Swiss imports. The move sent shockwaves through the export-oriented country, particularly hitting the watchmaking industry, a key driver of Switzerland’s economy. This tariff comes when the U.S. market is the last pillar of growth for the Swiss watch industry, with other regions reporting steady declines over recent months. The Trump administration’s decision to impose this hefty tariff stems from the $39 billion trade deficit that the US has with Switzerland.

While previous tariffs often targeted the pharmaceutical sector, this new blanket tariff will also severely affect other sectors, specifically the flag-bearing export sector of watchmaking, as well as machinery and food production. Notably, the US is a significant market for Swiss watch exports, a fact making the impact of the tariff even more crucial.

The Swiss watch industry braces for the future, ensuring that the impact of the tariffs doesn’t wound the prestigious industry too deeply. With a reputation for timeless quality and craftsmanship, the Swiss watch industry is unquestionably resilient. As they say, only time will tell.