Switzerland slams U.S. tariffs, stays close to EU over next steps

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ZURICH (Reuters) – Switzerland’s government on Thursday described trade tariffs imposed on the country by U.S. President Donald Trump as incomprehensible, and vowed to stay in close communication with the European Union on how they proceed.

Swiss President and Finance Minister Karin Keller-Sutter said she regretted that the U.S. was “turning further away from free trade and a rules-based trade order” but said her government was not planning retaliatory measures for now.

She and Economy Minister Guy Parmelin vowed to take up their concerns with U.S. officials and both will make their case in person when they visit the United States later this month.

Keller-Sutter said she had spoken to EU Commission President Ursula von der Leyen early on Thursday about the tariffs, noting that there was no indication Switzerland could be affected by possible EU countermeasures.

“Mrs von der Leyen and I have agreed to remain in close contact and to inform each other about any further steps,” she told a press conference, noting she also aimed to participate in a meeting of EU finance ministers next week.

Switzerland has abolished industrial tariffs and officials were stunned Trump imposed a 31% tariff on imports from Switzerland compared with 20% from the EU.

The U.S. is Switzerland’s top export market, and Switzerland is the sixth-biggest foreign investor in the United States.

Parmelin said the tariffs could be counterproductive.

“Just the other day, I was talking to a CEO of a major company who told me they’re in the process of investing over a billion dollars in the United States,” he said. “So there’s also a risk this will put the brakes on certain investments.”

Keller Sutter also said Switzerland does not manipulate the Swiss franc to boost exports, as some critics allege.

(Reporting by Dave Graham and Ariane Luthi)