Swiss industry group Swissmem: Welcomes U.S. Supreme Court decisions on tariffs

Swiss industry group Swissmem: Welcomes U.S. Supreme Court decisions on tariffs

Swiss Industry Group Swissmem Welcomes U.S. Supreme Court Rulings on Tariffs

The U.S. Supreme Court’s decision to invalidate President Donald Trump’s broad tariffs under the International Emergency Economic Powers Act (IEEPA) has been met with cautious optimism by Swiss industry groups. The 6-3 ruling, which held that IEEPA does not authorize the president to impose tariffs, effectively curtailed sweeping duties that had disproportionately impacted Swiss exporters. Swissmem, representing Switzerland’s mechanical, electrical, and metal industries, highlighted the ruling as a step toward stabilizing trade relations but emphasized ongoing challenges.

The ruling follows a November 2025 trade agreement between Switzerland and the U.S., which reduced tariffs on Swiss exports from 39% to 15%, aligning them with European Union rates. This adjustment, according to Swiss Economy Minister Guy Parmelin, levels the playing field for Swiss tech industries, which had faced a 14.2% decline in U.S. exports since August 2025 under higher tariffs. Swissmem President Martin Hirzel noted that while the tariff reduction offers “a brief sigh of relief,” it does not resolve structural issues such as the strong Swiss franc, lingering 50% tariffs on certain goods, and global trade uncertainties.

The U.S. Supreme Court’s action also raises financial implications. Importers may receive refunds for IEEPA-based tariffs, estimated at $129 billion, while the Trump administration seeks alternative legal grounds to retain some duties. Swissmem has called on Swiss policymakers to address remaining barriers, including streamlining regulations and accelerating free trade agreements.

Switzerland’s trade deal with the U.S. includes $200 billion in planned Swiss investments in sectors like pharmaceuticals, aerospace, and medical devices by 2028. However, Swissmem cautions that market volatility and potential U.S. policy shifts remain risks. “Politicians must act now to reduce burdens and open new markets,” Hirzel stated, underscoring the need for sustained policy support.

While the Supreme Court’s ruling and bilateral agreement provide immediate relief, Swiss industry leaders stress that long-term stability depends on addressing currency imbalances, regulatory hurdles, and global economic uncertainties.