Abolition of industrial tariffs

Industrial tariffs were abolished on 1 January 2024 (Federal Gazette, BBl 2021 2330). This was decided by the Federal Council at its meeting on 2 February 2022, after the necessary amendment to the Customs Tariff Act had been passed by Parliament on 1 October 2021.

When the measure came into force, all import duties on industrial products (Harmonized System (HS), Chapters 25–97) were set at zero, regardless of the products' origin or delivery route. However, the abolition of industrial tariffs does not apply to agricultural products (HS Chapters 1–24, and certain agricultural products in Chapters 35 and 38), which are still subject to customs duties according to weight. At the same time that industrial tariffs were abolished, the customs tariff structure for industrial products was simplified by merging and reducing tariff numbers. The tariff structure for agricultural products remained unchanged.

The abolition of industrial tariffs is an autonomous measure by Switzerland: industrial tariffs abroad remain in place. No adjustments have been made to customs clearance procedures as part of this measure. Other duties and taxes (e.g. value added tax and mineral oil tax) also remain in place. However, proof of origin is no longer required for imports of industrial products if it is clear at the time of import that they will remain in Switzerland or be consumed here. Proof of preferential origin is now only necessary for industrial products in cases of unchanged re-export or where the intention is accumulation origin.

Further information on the abolition of industrial tariffs is available under the Questions & Answers section and on the FOCBS website. Documents relating to the adjustments to the customs tariffs and master data are available here.

Background information

Removing industrial tariffs strengthens Switzerland's position as a business and industrial location. The achievable welfare gains are estimated at some CHF 860 million. Whereas customs duties once served to protect domestic industry from foreign competition, today they make it more expensive to procure input materials from abroad. With the lifting of customs duties and the associated simplification of administrative procedures, businesses in Switzerland benefit from cheaper inputs and therefore lower production costs. Given that the Swiss economy is highly integrated in global value chains, removing industrial tariffs also improves Switzerland's international competitiveness through more efficient trade ties and greater competition. The measure also benefits consumers, as it eliminates customs duties on various consumer goods, including cars, bicycles, personal care products, household appliances and clothing. In sectors with functioning competition, the savings will be passed on to consumers, and this will be monitored.

The abolition of industrial tariffs is part of the 'Import Facilitation' package of measures, which was adopted by the Federal Council on 20 December 2017 with the aim of reducing trade barriers. The decision was preceded by a series of studies.

Abolition of industrial tariffs: questions & answers

Which products are concerned by the lifting of industrial tariffs?

In Switzerland, all goods with the exception of agricultural products (including processed agricultural products and animal feed) and fishery products count as industrial products. The abolition of industrial tariffs thus concerns goods under Chapters 25–97 of the Swiss customs tariff, with the exception of certain products under Chapters 35 and 38 classified as agricultural products. This means that these industrial products are not subject to customs duties when imported into Switzerland from 1 January 2024, regardless of the origin of the goods. For the abolition of customs duties on industrial products, it is therefore irrelevant which countries the goods ultimately enter Switzerland through and whether the goods were in free circulation abroad.

Further information: Dispatch on the Amendment of the Customs Tariff Act (BBl 2019 8479)

Likewise, the simplification of the tariff structure applies only to industrial products under Chapters 25–97 of the customs tariff.

An overview of the tariff lines concerned can be found in the Excel document 'Simplification of the customs tariff': Changes from 1.1.2024 - Abolition of industrial tariffs

Have industrial tariffs also been abolished abroad? Does the abolition of tariffs also apply to Liechtenstein?

The abolition of industrial tariffs is a measure that Switzerland has taken independently. Industrial tariffs abroad remain in place. This means that customs duties are still payable on Swiss goods imported into other countries.

However, due to the customs union between Switzerland and Liechtenstein, the abolition of industrial tariffs also applies to Liechtenstein. No customs duties have been levied on the import of industrial products into Liechtenstein since 1 January 2024.

Have new ad valorem duties been imposed?

No customs duties have been levied on industrial products since industrial tariffs were abolished on 1 January 2024. However, customs duties continue to be levied on agricultural products according to weight.

Does the abolition of industrial tariffs affect import customs declarations?

The abolition of industrial tariffs does not change customs clearance procedures. There is still an obligation to declare imports (Declaration companies), including the correct tariff numbers and the weight of the imported goods.

With the launch of the new 'Passar' goods traffic system as part of the FOCBS's DaziT transformation programme, the import customs declaration has been simplified. Passar has been in operation since 1 June 2023. Further information about this is available here.

Regarding adjustments concerning cumulation of origin and special procedures for industrial products, please refer to the Questions & Answers section below.

Have import duties on industrial products been abolished for all importers?

Since 1 January 2024, industrial tariffs have been abolished on the import of all industrial products, regardless of whether they are imported by a private individual, a company or a carrier.

Who still needs a proof of preferential origin for industrial products after the abolition of industrial tariffs?

From 1 January 2024, industrial products can be imported into Switzerland duty-free. If importing industrial products which at the time of import are expected to remain or be consumed in Switzerland, there is no longer a need to apply any free trade agreements (FTAs) or the Generalised System of Preferences (GSP) in favour of developing countries. This means there is no need to submit a proof of preferential origin (EUR.1 or origin declaration) for such imports.

When importing merchandise or input materials that are to be further processed in Switzerland and then re-exported, a distinction is made as to whether or not cumulation of origin applies to the re-exported product, e.g. under the Pan-Euro-Mediterranean convention (PEM convention).

In order to apply cumulation of origin on the export side, a supplier's proof of origin (so-called preliminary proof of origin) is required when importing the goods concerned.

Purpose of import of industrial products	Proof of preferential origin/preliminary proof of origin required on import?
Final destination Switzerland: Goods for which it is certain at the time of import that they will not be re-exported from Switzerland (e.g. consumer products).	No
Processing and re-export without preferential tariff treatment: Imports that are further processed in Switzerland and exported either to countries with which there are no FTAs or to countries with which there are FTAs but preferential treatment is not being claimed.	No
Unaltered re-export without preferential tariff treatment: Import of goods to be exported in an unaltered state to countries with which there are no FTAs or to countries with which there are FTAs but preferential treatment is not being claimed and there is no proof of preferential origin serving as a basis for a certificate of non-preferential origin.	No
Sufficient processing and re-export with Swiss origin: Import of goods that are considered sufficiently worked or processed in Switzerland without applying rules of cumulation under the relevant FTA and which are to be re-exported under that FTA as goods with Swiss preferential origin.	No
Export-side cumulation: Import of goods that are considered sufficiently worked or processed in Switzerland only by applying rules of cumulation under the relevant FTA and which are to be re-exported under that FTA as goods with Swiss preferential origin.	Yes
Through-trade: Import of goods that are to be re-exported unaltered to free-trade partner countries with which cumulation of origin is possible, as goods with preferential origin ('through trade' operations).	Yes
Preferential proof of origin serving as a basis for a certificate of non-preferential origin upon export: Import of goods which are to be re-exported unaltered and for which a proof or preferential origin is to serve as a basis for a certificate of non-preferential origin.	Yes

How can cumulation of origin continue to be applied?

Since 1 January 2024, Swiss importers of industrial products have benefited from the zero-rate duty without a proof of preferential origin.

The abolition of industrial tariffs does not change the formal requirements for certificates of origin. For cumulation of origin, e.g. under the PEM convention, proof of preferential origin is still required as a supporting document for export. Even today, businesses have to present a preliminary proof of origin or a preferential assessment decision if they wish to issue a proof of origin certificate when exporting products (Zirkular D30, Vorursprungsnachweise; Vereinfachungen, de, fr, it). This practice has not changed since the abolition of industrial tariffs.

As a reminder: Preferential customs clearance on import, i.e. a preferential assessment decision, is not mandatory in order to be able to issue a proof of origin when exporting products. The existence of a preliminary proof of origin, i.e. the foreign supplier's proof of origin (movement certificate or origin declaration on the invoice; supplier declarations are not valid in this context) is sufficient.

The proof of origin must be issued according to the correct form (see: Factsheet for determining the formal validity of proofs of origin).

Can proof of origin certificates (e.g. EUR.1) now be issued/submitted digitally?

There are currently no plans to digitise proof of origin certificates or introduce other simplifications regarding EUR.1 certificates. Proof of origin certificates must still be available in their original form prior to assessment or customs clearance even after the abolition of industrial tariffs. The subsequent archiving of proof of origin certificates can be done digitally (see next question).

What obligations for archiving proof of preferential origin certificates (e.g. the EUR.1 certificate) remain in place after the abolition of industrial tariffs?

The abolition of industrial tariffs does not affect the requirement to archive proof of preferential origin certificates. This requirement remains in place.

Preliminary documents for proof of origin certificates for export must be kept for at least three years from the date of issue of the proof of origin certificate for export, and for at least five years when applying the free trade agreement with South Korea. These proof of origin certificates can be archived digitally.

See also: Information on archiving proof of origin certificates for export after 1 January 2024 (only available in German, French, Italian, see also Fact sheets / publications Free trade agreements, origin - Importation into Switzerland), published by the FOCBS

Has there been any change to the ATA Carnet since the abolition of industrial tariffs?

The ATA Carnet remains in place for the temporary entry of goods, i.e. the goods must leave the customs territory on time and unaltered. The ATA Carnet is designed to enforce these requirements and, if necessary, provides a guarantee covering the relevant import duties (in particular VAT). Another advantage is that the ATA Carnet eliminates the need to obtain national customs documents for each country (i.e. one customs document applies for several countries).

Since the abolition of industrial tariffs, traders who are entitled to full input tax deduction, in particular, may still choose the option of duty-free import together with the export procedure as an alternative to the ATA Carnet.

Are there still special procedures for industrial products, such as processing traffic or tariff concessions for goods according to their intended use?

With the abolition of industrial tariffs, all tariff concessions for goods according to their intended use have been lifted.

Processing traffic remains in place, as it continues to be relevant in exceptional cases, for example for VAT exemption in the context of the temporary import of goods (inward processing).

Special procedures for agricultural products remain unchanged.

How must goods without further segregation (OWA) be declared?

Mixed consignments can be declared as before, i.e. the non-segregated goods are declared under the tariff heading that corresponds to the goods with the highest value.

Which tariff lines have been merged with the simplification of the tariff structure? What has happened to the statistical keys?

Along with the abolition of industrial tariffs, the Swiss customs tariff for industrial products has also been simplified. This does not affect the tariff structure for the agricultural sector.

The 9,114 tariff numbers of the Swiss customs tariff have been cut to 7,511, as such a detailed breakdown is no longer needed. National subdivisions of tariff numbers have not changed in the industrial sector if these are still necessary for enforcing certain non-customs legislative instruments, e.g. for export controls.

An overview of the tariff lines affected can be found in the Excel table 'Simplification of the customs tariffs from 1 January 2024': Changes on 1.1.2024 – Abolition of industrial tariffs

The statistical keys (three-digit suffixes serving as control elements) are additional divisions of the eight-digit tariff numbers. They have been transferred to the new tariff structure if they are necessary for enforcing non-customs legislative instruments. The FOCBS provided necessary information for this.

How does the adjustment of the Swiss tariff structure affect exports?

Along with the abolition of industrial tariffs, the Swiss customs tariff for industrial products has also been simplified. The new tariff structure applies to both imports into and exports from Switzerland. The import regulations of the destination country apply to the import of Swiss goods abroad.

Are there any changes to those non-customs legislative instruments affected by the simplification of the tariff structure?

The ordinances containing tariff numbers and which refer to non-customs legislative instruments were adapted by the Federal Council by January 2023. Existing non-customs legislative instruments have been transferred to the new tariff structure. The FOCBS provided necessary information for this: Changes on 1.1.2024 - Abolition of industrial tariffs

Are there any changes to the binding tariff information affected by the simplification of the tariff structure?

In principle, binding tariff information is no longer valid after six years at most or if the legal basis applied is changed. Since the abolition of industrial tariffs (amendment of the Customs Tariff Act), the FOCBS still considers the tariff information which is affected by the accompanying simplification of the customs tariff structure (adjustment of the last two digits of the customs tariff number to '00') to be valid within the validity period.

Are there any changes to decisions issued on the tariff classifications of goods and tariff explanatory notes affected by the simplification of the tariff structure?

The relevant decisions and explanations were adapted to the new tariff structure by the FOCBS by 1 January 2024 and published in Tares.