Switzerland and China have concluded negotiations to upgrade their Free Trade Agreement, with the new deal set to make 99.8% of Swiss exports to China duty-free in the medium term. Some 77.5% of Swiss exports are expected to benefit from tariff-free access once the agreement enters into force, with the remaining reductions phased in over up to 10 years.
The agreement also expands market access for services and investment and introduces changes to rules of origin and digital trade. Key Swiss sectors benefiting include machinery, pharmaceuticals, chemicals, precision instruments and watches.
For Portuguese companies, the agreement could have an indirect impact by strengthening the competitive position of Swiss exporters in the Chinese market, particularly in sectors where Portuguese and Swiss companies compete. The deal also highlights the importance of monitoring China's evolving network of trade agreements and market-access conditions.
The agreement still requires legal review and domestic approval procedures, with signature targeted before the end of 2026.
