UNITED STATES, SWITZERLAND, AND LIECHTENSTEIN ESTABLISH FRAMEWORK FOR A RECIPROCAL TRADE AGREEMENT

The United States, Switzerland, and Liechtenstein have introduced a trilateral Framework to guide negotiations toward an Agreement on Fair, Balanced, and Reciprocal Trade. The Framework outlines shared objectives to expand market access, enhance investment pathways, improve regulatory transparency, and strengthen supply network resilience across all three markets. It represents a structured step toward a rules-based agreement designed to support stable commercial growth, promote predictable trade practices, and reinforce long-term economic cooperation.

The Framework establishes a foundation for negotiating a comprehensive reciprocal trade agreement that enhances transparency, expands export opportunities, and supports deeper collaboration across industrial, agricultural, and service sectors. Participants seek to create conditions that foster innovation, responsible investment, and competitive market access across their shared markets. It also affirms commitments to predictable trade policy, coordinated economic security priorities, and improved alignment of regulatory and conformity assessment practices needed to support long-term commercial stability.

Key objectives include strengthening bilateral and trilateral commercial partnerships, improving access for U.S. industrial and agricultural goods, reducing non-tariff barriers that limit trade, and coordinating national security-related trade measures. The Participants also intend to support workforce development and pursue more consistent rulemaking practices across their respective markets.

Switzerland and Liechtenstein plan to encourage substantial foreign direct investment into the United States. Switzerland expects to support at least 200 billion USD in investment across all 50 states over the next five years, while Liechtenstein intends to encourage at least 300 million USD in investment and increase U.S. job creation by its enterprises by 50 percent during the same period. One-third of these combined investments is expected by the end of 2026.

The United States intends to take these commitments into consideration when applying reciprocal tariffs and will review progress through joint consultations. The Framework also promotes training and apprenticeship initiatives that align with Swiss and Liechtenstein investments in high-growth sectors. All three Participants intend to maintain an environment that supports commercially competitive enterprises, reduces distortions caused by non-market policies, and expands opportunities for cross-border investment.

The United States intends to apply the same tariff treatment to Switzerland and Liechtenstein because the countries’ customs procedures are closely aligned. Switzerland and Liechtenstein plan to eliminate duties on all U.S. industrial goods, seafood, and certain agricultural products. They also intend to establish tariff rate quotas for additional agricultural goods to support increased access for U.S. exporters.

The United States plans to apply a tariff rate of 15 percent or the most favored nation rate, whichever is higher, on originating goods from Switzerland and Liechtenstein, except for products listed in the Potential Tariff Adjustments for Aligned Partners Annex of Executive Order 14346. The United States also intends to ensure that tariffs applied under Section 232 for originating pharmaceuticals and semiconductors do not exceed 15 percent. The Participants may examine rules of origin if needed to ensure that the benefits of the Agreement accrue primarily to the direct trading partners.

The Framework identifies a broad set of regulatory priorities intended to simplify market access and improve alignment across industrial and agricultural sectors. Switzerland and the United States plan to recognize conformity assessment bodies in each other’s territories under non-discriminatory procedures. Switzerland also intends to work with the United States toward recognizing U.S. automotive standards and facilitating the acceptance of medical devices cleared or approved by the U.S. Food and Drug Administration.

Agricultural commitments include addressing measures affecting poultry, beef, bison, and dairy products by improving labeling requirements, streamlining certificates, and reducing duplicative processes. The Participants also plan to negotiate intellectual property protections, including transparency in the treatment of geographical indications. Service suppliers are expected to benefit from continued open and competitive market conditions. The Framework also reinforces commitments to internationally recognized labor rights and strong environmental governance with effective enforcement.

Participants affirm principles designed to support trusted digital trade, secure data flows, and interoperability across privacy frameworks. Switzerland and Liechtenstein intend to refrain from digital services taxes and support a permanent moratorium on customs duties for electronic transmissions through the World Trade Organization. The Framework also encourages cooperation on responsible technology development, data protection, and cross-border digital practices that promote efficient and transparent commerce.

The Framework strengthens coordination on economic security matters, including efforts to address non-market practices by third countries. Participants intend to enhance cooperation on export controls, sanctions enforcement, and investment screening. Switzerland and Liechtenstein also plan to work with the United States to improve supply network resilience across strategically important sectors through shared monitoring practices and aligned standards. This effort reaffirms commitments under the WTO Agreement on Government Procurement. Switzerland and Liechtenstein intend to implement measures ensuring procurement access aligns with reciprocal treatment and does not extend non-discriminatory benefits to entities outside the GPA and relevant trade agreements.

Participants intend to begin negotiations immediately and aim to conclude the Agreement in early 2026, subject to domestic processes in each jurisdiction. Once completed, the Agreement is expected to formalize tariff schedules, investment commitments, regulatory practices, digital trade principles, and economic security provisions. Continued consultations will guide implementation timelines and support an orderly entry into force after negotiations are finalized.