Swiss Industries Brace for Impact as US Tariffs Loom
US President Donald Trump's new 39% tariff on Swiss exports threatens to hike prices of Swiss watches, chocolate, and cheese. The Swiss government and industry groups express concerns over economic damage. Meanwhile, major companies like Roche and Novartis assess potential impacts on their operations and customer access.
In a move set to jolt the global luxury market, US President Donald Trump's administration has announced a 39% tariff on Swiss imports, poised to take effect next week. This measure could send prices of coveted Swiss watches, chocolates, and cheese soaring, impacting both Swiss exporters and American consumers.
The decision, which applies to 66 countries, including the European Union, follows Switzerland's unsuccessful negotiations to prevent the hefty duty. The timing is particularly unfortunate, coinciding with Switzerland's National Day, leaving the Swiss government scrambling for solutions.
Swiss manufacturers, from watch giants like Rolex to chocolate titans Nestlé and Lindt & Sprüngli, are concerned about the trade barrier's widespread economic implications. As industries brace for a potential downturn, particularly in the US market, thoughts turn to diversification and the search for new global opportunities.
(With inputs from agencies.)
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