US in talks with Switzerland for deal to reduce 39% tariff rate

By Mucahithan Avcioglu

ISTANBUL (AA) - The US and Switzerland are in talks to reach a trade deal that would slash the 39% tariff rate on Swiss goods entering the US, President Donald Trump said late Monday.

Trump told reporters in the Oval Office that White House officials are “working on a deal to get the tariffs a little lower.”

“I haven’t set any number, but we’re going to be working on something to help Switzerland,” he said.

“We hit Switzerland very hard. But we want Switzerland to remain successful,” he said, adding that the country has been a “very good ally.”

In August, Trump increased the tariff rate on the Swiss goods entering the US to 39%, one of the highest rates globally.

Switzerland, whose main exports include watches, jewelry, machinery, chocolate, electronics, chemicals, and pharmaceuticals, expressed displeasure with the levy. Swiss companies Swatch Group's shares along with Richemont traded higher when the market opened on Tuesday.

The US goods trade deficit with Switzerland was $38.5 billion last year, according to the Office of the United States Trade Representative.