Earlier this year, the US Government announced plans to impose a 39 per cent duty on all imports from Switzerland, provoking widespread concern about the impact this would have on the watch trade. The US is the largest market for Swiss-made watches.
The US has reportedly agreed to limit import duties on Swiss goods to 15 per cent and apply the ‘most favoured nation’ tariff rate. Neither party has clarified when this will come into effect.
“The announcement of the reduction in additional US tariffs on Swiss imports will serve to stabilise bilateral trade relations,” the Swiss government said in a separate statement on Friday.
“Although overall tariffs remain higher than before the additional tariffs were introduced in April, the agreed reduction in additional tariffs is expected to have a positive impact on the Swiss economy.”
Earlier this year, Rolex was dragged into a political feud after US President Donald Trump was photographed meeting with executives at the US Open in New York. The Swatch Group also released a new limited-edition watch, which mocked the tariffs.
The US President met with Swiss business leaders for a second time in early November and was gifted a golden Rolex table clock, which has already drawn ire among political rivals.
With that said, it is not unusual for visitors to the White House to come bearing gifts.
“The US president receives thousands of gifts every year and they then become US property, deposited with the National Archives and filed annually by the state department,” a BBC News report explains.
“They are eventually transferred to a presidential library. Some gifts can be kept, but presidents have to pay federal taxes if they do not come from a close relative.”
According to media reports, this new agreement between Switzerland and the US is expected to be finalised in early 2026.
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