Switzerland is among several economies under investigation by the United States for alleged unfair trade practices, reported RTS. The Federal Council discussed the matter on Friday, reviewing possible next steps but taking no decision. Its deliberations were based on an initial analysis by the State Secretariat for Economic Affairs (SECO), according to Nicole Lamon, a government spokeswoman.
The inquiries have been launched under Section 301 of the Trade Act of 1974. Swiss authorities were formally notified in writing by Jamieson Greer, the United States trade representative.
One investigation concerns structural overcapacity. Announced on March 11th, it will examine whether such practices are inappropriate or discriminatory, and whether they harm American trade. Fifteen countries, including China, Norway, India, South Korea and Japan, as well as the European Union, are affected.
The second inquiry focuses on forced labour. American officials argue that governments are failing to prevent goods produced under such conditions from entering their markets. Some 60 economies fall within the scope of the investigation.
A long-running tariff dispute
Bern and Washington are also negotiating a legally binding trade agreement aimed at capping American tariffs at 15%. Its broad outlines were set out in a joint declaration adopted in November.
Meanwhile, America’s Supreme Court struck down much of the tariff regime introduced by Donald Trump on February 20th. The court ruled that the 1977 law he relied on did not grant the president authority to impose such surcharges, a power reserved for Congress.
Mr Trump subsequently announced new tariffs of 10% to replace those that were annulled. These measures are limited to 150 days, with any extension requiring congressional approval.
How this tangle of competing measures and negotiations will be resolved remains unclear.
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