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Swiss multinationals urge calm in response to tariff blow

Swatch to journalists: 'stay calm, no hyperventilation'
Swatch to journalists: 'stay calm, no hyperventilation' Keystone-SDA

A few days after the news of the 39% tariffs imposed by the US on Switzerland, Swiss watchmaker Swatch urged calm. Some companies that produce a lot in the US said they expected limited effects.

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“No hasty reactions, negativity and speculation and, above all, no hyperventilation, especially by journalists: stay calm,” urged the Swatch watch group, prompted by the Awp news agency.

The electrical giant ABB points out that the company strategy aims to be self-sufficient in every region: already today, 75-80% of products in the US are manufactured locally, in Europe the share is 95% and in China 85%. “A central component of our strategy is to further increase localisation rates as part of our investments,” the company says. ABB is, however, monitoring the situation “very closely”. The company generates 27% of its turnover in the US and over the past three years more than $500 million (CHF403 million) has been invested in American operations, for example in new production facilities or research centres.

Even at Lindt&Sprüngli, the high-quality chocolate giant, there is no let-up. “The vast majority of products sold in the US are manufactured locally at the Stratham, New Hampshire production plant,” explained a spokesperson. “Items from Europe represent only a small portion of the total volume.”

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Translated from Italian by DeepL/jdp

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