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US Treasury discusses sanctions with Swiss commodity stakeholders

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A container ship awaits the unloading of its cargo after berthing at a port in Pacific port-city Vladivostok, Russia, 05 September 2022. Keystone / Yuri Kochetkov

The discussions on sanctions against Russia touched on technical aspects, as part of the multi-stage exchanges that the US Treasury Department is conducting with its trading partners in several European countries.

The meeting described as “useful for all parties” took place in Geneva on Monday between the Swiss commodities trading sector, representatives of the US Treasury and the State Secretariat for Economic Affairs (SECO). 

It was a working meeting which focused on commodities trading and energy supplies for Europe over the next 18 months. The US embassy in Bern was also represented. The meeting took place against a backdrop of US criticism of Swiss implementation of sanctions against Russia.

The aim is to assess the situation on the commodities market in relation to energy supply and overall security of supply. The impact of sanctions against Russia on the commodities trading sector was also discussed.

The future of trading, oil price caps and food security were also discussed. The Swiss commodities sector was represented by Suissenégoce that represents the interests of trading companies, as well as transporters, banks, insurance companies and specialist service providers.

Switzerland is a key global platform for commodities trading. The sector contributes 4% of Switzerland’s GDP and employs 35,000 people, according to Suissenégoce.

In May the government stated that the war in Ukraine had profoundly disrupted commodities trading in the energy and food sectors. Swiss traders have been affected by the international sanctions imposed as a result of the war.

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