The U.S. has threatened Switzerland with new tariffs over labor practices
Trade relations between the United States and Switzerland have come under renewed pressure after Washington raised concerns with Bern regarding efforts to combat the import of goods produced using forced labor.
The Swiss government stated that it disagrees with the U.S. conclusions but intends to continue negotiations with the United States to resolve the disputes.
Bern emphasized that the country applies a comprehensive approach to supply chain control, which includes government regulation, business risk assessment, and international cooperation.
Meanwhile, the U.S. administration is considering imposing an additional 12.5% tariff on Swiss goods. The new tariff could replace the current 10% duty, which is in effect until July 24.
Washington’s claims are based on the results of a trade investigation released on June 2. During the investigation, the U.S. side analyzed the use of goods produced using forced labor, as well as the impact of excess production capacity on international competition.
“The Federal Council firmly rejects the allegations made during this investigation,” the Swiss government stated.
Despite the differences, Bern does not plan to halt dialogue with Washington and expects negotiations on resolving trade issues between the countries to continue.
Source: Reuters.
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