Trump Suggests Switzerland Tariffs Stemmed From Friction With Swiss President – The New York Times

President Trump disclosed that he imposed a 39 percent tariff on Switzerland in August 2024 after a personal dispute with then-President Karin Keller-Sutter during a phone call he characterized as adversarial. Trump stated he initially planned a 30 percent rate but increased it to 39 percent after Keller-Sutter repeatedly objected, saying her repetitive pushback and aggressive tone “rubbed me the wrong way.” The tariff far exceeded rates negotiated with the European Union at 15 percent and Britain at 10 percent, revealing that personal friction—not trade policy analysis—determined the rate.

Trump recounted that Keller-Sutter emphasized Switzerland’s small size and inability to absorb such tariffs, to which Trump responded by referencing the U.S. trade deficit with the country. The Swiss central bank had noted that gold bullion and bars—which comprised roughly two-thirds of Swiss exports to the United States at that time—should not be counted in trade balance calculations, undermining Trump’s rationale. Trump’s acknowledgment that the tariff was retaliatory rather than economically justified contradicts any legitimate trade policy framework.

After the rate hike, Trump said “all hell really broke out” and that Rolex and other Swiss representatives lobbied to reduce the tariff. Trump eventually cut the rate to 15 percent, matching the European Union’s rate. Keller-Sutter’s presidential term ended in December, and Trump later remarked that Switzerland exists only because of U.S. support, stating “They’re only good because of us,” a comment that prompted gasps from World Economic Forum attendees in Davos.

Trump’s public explanation reveals how personal grievance and authoritarian impulse shape his trade decisions rather than coherent economic strategy. Using tariffs as punishment for perceived disrespect weaponizes trade policy as a tool for enforcing personal loyalty, establishing a pattern where foreign leaders must defer to Trump’s demands or face economic retaliation regardless of factual merit or proportionality.

(Source: https://www.nytimes.com/2026/01/21/us/politics/trump-switzerland-tariffs-personal-friction.html)