Overview

• The Swiss government is negotiating intensified concessions, including pledges to buy more U.S. liquefied natural gas and boost American investments, to stave off the 39% tariff set to start August 7.
• Watchmakers such as Swatch Group and Richemont warn that the levy will force U.S. price increases of up to 20% and shrink sales volumes in a market accounting for nearly 17% of Swiss watch exports.
• Jefferies analysts estimate the tariff could add 12–14% to retail prices of models like the Rolex Submariner, prompting dealers to accelerate shipments before the deadline.
• Although pharmaceuticals remain exempt, 17 Swiss drug manufacturers have received letters from President Trump demanding price cuts or face retaliatory measures.
• Economists warn that without a truce, the tariff could tip Switzerland into recession by undercutting an export-driven economy that sends one-sixth of its goods to the United States.