The United States agreed to slash tariffs on Swiss imports from 39% to 15% following a White House meeting where Swiss business executives presented President Donald Trump with a gold Rolex clock and an engraved gold bar.
The tariff reduction, announced Friday, is a dramatic reversal after months of strained trade relations between the two countries. Switzerland also committed to investing $200 billion in US manufacturing by 2028 and reducing import duties on American agricultural products.
“It’s a great relief for our economy,” Swiss Economics Minister Guy Parmelin said in a statement, noting that Swiss tech exports to the US had plummeted 14.2% in the third quarter following the tariff increase in August.
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The breakthrough came after a November 4 Oval Office meeting between Trump and a delegation of Swiss business leaders, including Rolex CEO Jean-Frédéric Dufour and Marwan Shakarchi, head of precious metals firm MKS PAMP Group. The executives brought gifts that included a Rolex desktop clock and a 1-kilogram gold bar engraved with “45” and “47” in reference to Trump’s presidential terms. The gold bar is valued at approximately $130,000.
White House officials said Trump accepted the gifts on behalf of his future presidential library, which they maintain complies with federal gift regulations. Under the Foreign Gifts and Decorations Act, federal officials cannot personally accept gifts worth more than $480 unless they are received on behalf of the United States.
The business delegation’s “golden charm offensive” follows unsuccessful diplomatic attempts. In August, Swiss President Karin Keller-Sutter’s phone conversation with Trump over the tariffs was described as unproductive. Trump later told CNBC that Keller-Sutter “was nice, but she didn’t want to listen.”
“Trump is a businessman and likes to talk business with businessmen,” a Trump administration official told reporters.
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The cozy relationship between Trump and Rolex executives has drawn scrutiny before. In September, Trump attended the US Open Men’s Tennis Final as a guest of Dufour in the Rolex VIP suite. According to Dufour’s account of the event, Trump jokingly asked whether he would have been invited if not for the tariffs imposed on Switzerland.
Sen. Elizabeth Warren, D-Mass., criticized the arrangement. “Corruption is not a laughing matter,” she said in a statement. “While families are getting crushed by Trump’s chaotic tariffs, Donald Trump and his rich friends are laughing about tariffs in a fancy box sponsored by a luxury watch brand.”
The Swiss government praised the outcome, with the Federal Department of Economic Affairs describing the negotiations as creating “a great new dynamic in our bilateral relations.” Officials acknowledged that the business leaders’ visit played a decisive role in breaking the diplomatic impasse.
Switzerland exported roughly $6.5 billion in watches and clocks to the United States in 2024, making timepieces one of the country’s top non-pharmaceutical exports to America, according to Trading Economics data.
Axios suggests Apple CEO Tim Cook may be the one who started this trend in negotiating with Trump. In August, the CEO gave Trump an engraved glass disc with a 24-karat gold base to commemorate the company’s $100 billion investment announcement in US manufacturing.
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