Dear Members and Friends

The topic of trade relationships remains a prominent topic in the public discussion and with continued geopolitical tensions we can assume that it will remain like this for a while. A good moment to briefly reflect on the importance of trade. Resources in the broadest sense are not equally distributed on our planet. As our societies develop, resources are needed and therefore have to be redistributed. The most effective tool to achieve that is trade. Since thousands of years human mankind has used trade to balance the inequality of resource distribution. Occasionally the alternative was used, that being war. But time has also proven that war is a destructive and unsustainable approach.

Trade, economic relationships in a balanced and sustainable manner, is a long term way to allow for stable development of our societies. It is important to keep that in mind.

In this context the ongoing discussion in regards of the Free Trade Agreement (FTA) is of high relevance with the various entities in Switzerland including the SCCC providing input to the process. The particular position of Switzerland in the trade relationship, also in comparison with other countries, was visible in June 2024. As of June 2024 China exported about CHF 650 million of goods to Switzerland and imported about USD 3 billion. Clearly Swiss products are in high demand in China.

The existing FTA, in force since 2014, has significantly helped to increase the trade volume between China and Switzerland, has reduced 95% of the customs tariffs and has given Swiss companies a competitive advantage relative to other countries. As all agreements, also the FTA needs to go with changes in time and therefore the update under discussion is very important for all of us involved in the trade between the two countries.

We continue to execute on the new strategy with a particular focus on the member committees. This will mainly play out in the coming year and we will talk about this more in the coming months. This year is also a busy year in regards of visits and we continue to see a constant stream of Chinese delegations coming to visit Switzerland.

A particular highlight in August was the visit Mr. MAO Jun, the chargé d’affaires of the Chinese Embassy in Switzerland who briefed interested members of the SCCC on the outcome of the 3rd plenum of the 20th Central Committee in regards of the economic relevant the measures decided by the 3rd plenum.

Two highlight events we would like to draw your attention to are the Information Seminar on the 136th Canton Fair and Heilongjiang - Switzerland Economic and Trade Cooperation Conference. Both events are open to members and non-members. Sign up today to secure your seat!

We wish you all a pleasant September with the festive spirit of the Mid-Autumn Festival. Our next newsletter will be released in early October.

Kind regards

Yù qióng qiān lǐ mù, gèng shàng yì céng lóu.

You will enjoy a grander sight by climbing to a greater height. (If you want to see a thousand miles farther, you need to climb one more story higher.)