The broad package includes a wide range of elements:
- The update of five agreements which already give Switzerland access to the EU internal market – air transport, land transport, the free movement of persons, conformity assessment and trade in agricultural products. Bringing these agreements to a modern standard will enable citizens and businesses on both sides to fully benefit from the rights they provide and will create a level playing field for business.
Each agreement will reflect the evolution of EU legislation in the area concerned and will ensure it is updated dynamically. The agreements will include dispute resolution provisions and State aid disciplines will apply where relevant.
- A new agreement on food safety that will establish a Common Food Safety Area covering all dimensions of the food chain.
- A new agreement on health that will allow Switzerland to take part in EU mechanisms and bodies addressing serious cross-border threats to health, notably the European Centre for Disease Prevention and Control and the Early Warning and Response System.
- A new agreement on electricity that will allow the participation of Switzerland in the EU internal electricity market.
- A new agreement on Switzerland’s permanent and fair financial contribution to economic and social cohesion within the Union, reflecting the level of partnership and cooperation between the parties.
- A new agreement that will allow Switzerland to participate in several Union programmes open to association of third countries: Horizon Europe, Euratom Research and Training, ITER/F4E (Fusion for Energy), Digital Europe, Erasmus+, as well as EU4Health. The Commission will ensure transitional arrangements are in place from 1 January 2025 so that Swiss entities are able to participate in calls from that date.
- A separate agreement will cover Switzerland’s participation in the EU Space Agency, for activities related to the Galileo and EGNOS components of the Union Space programme.
President of the European Commission Ursula von der Leyen said: “This agreement between the EU and Switzerland reflects the deep ties that have grown between us. Today marks a new chapter in our partnership as we elevate our cooperation to the next level and modernise the foundation of our strong relationship. This agreement ensures our partnership is fit for the future, enabling both sides to fully harness the potential of our close collaboration.”
The negotiations were based on the Common Understanding agreed between the Commission and the Federal Council in October 2023 which outlined the key components of the package. The negotiations were launched on 18 March 2024, and conducted subsequently under the political leadership of Commissioner Maros Šefčovič and based on the mandate given to the Commission by the Council on 12 March 2024. Since then, over 200 negotiating meetings were held to reach an agreement.
The completion of the negotiation marks the end of an important phase. It also marks the opening of the signature and ratification process in the EU and in Switzerland. During this period, the EU is committed to work towards the successful completion of the process, and expects the same from the Swiss side, to bring our bilateral relations to a new level.
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Quote(s)
This agreement between the EU and Switzerland reflects the deep ties that have grown between us. Today marks a new chapter in our partnership as we elevate our cooperation to the next level and modernize the foundation of our strong relationship. This agreement ensures our partnership is fit for the future, enabling both sides to fully harness the potential of our close collaboration.
With this remarkable milestone, we have a chance to modernise our relations, to keep them in step with the challenging times, and to unlock their full potential to the clear benefit of both sides. As in all negotiations, we needed to strike the right balance – by safeguarding interests of the European Union, while listening carefully to Swiss concerns. I am convinced that this is a positive, balanced deal worth promoting and supporting jointly.
Source – EU Commission
EU Commission Q&A on the broad package of measures to deepen and expand the EU-Switzerland relationship
Bern/Brussels, 20 December 2024
What is the difference between the Institutional Framework Agreement and the current package?
The Institutional Framework Agreement and the current package differ fundamentally both in form and substance.
In contrast to the Institutional Framework Agreement, the current package does not provide for a single overarching agreement. Instead, it consists of several separate agreements, which are either updated or completely new. These agreements will integrate the agreed institutional and State aid solutions, ensuring a level playing field for EU and Swiss operators.
In terms of substance, the package updates existing agreements in fields related to the internal market and extends cooperation into new areas such as food safety, health and electricity. It also allows for Switzerland’s association to Union programmes, notably Horizon Europe and Erasmus+ and provides for a permanent mechanism for Switzerland’s regular and fair financial contribution to the EU’s cohesion.
What are the changes with respect to the free movement of persons? Will the new agreement allow Switzerland to introduce a cap on free movement?
The main change will be that Switzerland will apply current and future Union law on free movement of persons and posting of workers and therefore be subject to the same rules as Member States. Switzerland cannot place a cap on free movement and this will not change with the updated agreement. The existing safeguard clause will be concretised and framed, but it will not be unilateral.
The Agreement contains exceptions to the application of EU rules on issues of particular sensitivity to Switzerland, for instance related to expulsion, permanent residence of economically non-active persons and students.
What is the agreement with respect to fees for EU students studying at Swiss universities?
Under the updated agreement, Switzerland will treat EU students and Swiss students in the same way with regard to tuition fees and all other fees or charges related to studies in the vast majority of public universities. The current level of access of EU students to these universities will be preserved.
Will the agreement on the free movement of persons provide for a safeguard clause for Switzerland? How would this work?
The Agreement on the Free Movement of Persons indeed provides for a well-framed safeguard clause.
As under the current Agreement on the Free Movement of Persons, it is first for the Joint Committee to find an appropriate, common solution to remedy alleged serious economic difficulties triggered by the application of the Agreement. If no agreement is found, no further steps can be taken.
Under the new Agreement, if the Joint Committee does not find a solution, the party alleging serious economic difficulties caused by the application of the Agreement may bring the issue to the arbitral tribunal.
It will then be up to the arbitral tribunal to decide if the conditions are met and, if it agrees, to authorise measures to be taken. As such the clause is not unilateral.
If a party does proceed with the adoption of measures to address the serious economic issues, the other party can take measures within the Agreement to restore a balance of rights and obligations.
What will be the role of European Court of Justice?
An arbitral tribunal will resolve the disputes between the parties in any of the agreements that will govern Switzerland’s access to the internal market. However, if there is a question of Union law that needs to be resolved in order to deliver its decision, the arbitral tribunal must submit that question to the European Court of Justice, whose ruling will be binding on the arbitral tribunal.
Moreover, the case-law of the European Court of Justice will apply to all these agreements, regardless of whether it has been handed down before or after the entry into force of the package.
What was agreed with respect to Switzerland’s contribution to reducing economic and social disparities? How will the contribution be calculated? Is there a methodology?
A permanent mechanism for Switzerland’s regular and fair financial contribution to cohesion within the EU will be established. The size of the financial mechanism would reflect the level of partnership and cooperation between the EU and Switzerland
The agreement includes provisions ensuring that there is no gap in Switzerland’s contribution and that it complements the EU’s cohesion efforts. It also contains effective measures in case one of the parties breaches the agreement (e.g. dispute settlement, a possibility to take compensatory measures within this and other agreements forming part of the broad package of agreements between the EU and Switzerland).
The agreement lays down also the amount and other rules on the first Swiss financial contribution under the agreement. There will be an annual payment of EUR 375 million for the period from the entry into force of the package until 2036. In addition, there will be an annual payment of close to EUR 140 million per year from the end of 2024. The first Swiss financial contribution will therefore encompass the first regular contribution for that period as well as a one-time additional financial commitment covering the period between the end of 2024 and the end of 2029. Lastly, the agreement includes rules on how Switzerland’s subsequent contribution should be determined. This would be based on the previous regular financial contribution but will be adjusted based on a limited set of factors.
What could Switzerland’s financial contribution be used for?
Switzerland’s financial contribution would mainly foster cohesion within the EU. It would involve support for various projects designated to reduce economic and social disparities in the EU. Such projects could concern for example vocational education and training, green transformation, research and innovation, support for the healthcare systems or SME financing, in line with the priorities set by the Member States concerned and Switzerland in their bilateral agreements. A small part of Switzerland’s financial contribution could be also used in the area of other common challenges the EU and Switzerland are facing, e. g. to support migration-related measures in Member States particularly affected by migration movements.
Will Switzerland be associated to Union programmes already now?
The start of Switzerland’s association to the Horizon Europe, Digital Europe, and Euratom Research and Training programmes is foreseen in 2025, subject to the signature of the agreement on Union programmes. A sunset clause makes clear that association will end if the package is not ratified. In this perspective, the European Commission will apply transitional arrangements to allow Swiss applicants to apply for calls under these programmes already 2025.
In addition, Switzerland’s participation in Fusion for Energy (F4E)/ITER is foreseen to start from 2026, and in Erasmus+ from 2027.
What is foreseen in the State aid provisions?
State aid provisions will be introduced in the air transport, land transport and electricity agreements.
Any aid granted by Switzerland in the areas covered by these agreements will be subject to the same State aid compatibility rules as those applicable in the EU. Switzerland will have to establish a State aid control system delivering an equivalent level of surveillance and enforcement as the one provided in the EU system, including through an independent surveillance authority. When establishing their State aid control system, the Swiss authorities should ensure equivalence with EU State aid secondary legislation and take due account of the Commission’s relevant guidelines, communications and decisional practice.
What are the changes with respect to transport?
The Land Transport Agreement will confirm the right for EU rail operators to provide international services in Switzerland, including a possibility to pick up and set down passengers in Switzerland along international routes. This means that an international train operated by an EU company going, for example, from Paris to Zurich can pick up passengers in Basel and set them down in Zurich. Currently, such train may be operated only in cooperation with a Swiss operator. The Agreement provides for a number of exceptions from EU rules, notably as regards the Swiss interval service timetable. The Agreement also lays the ground for a limited participation of Switzerland in the European Union Agency for Railways.
Under the Aviation Agreement, Swiss air carriers will acquire the right to fly within the territory of a Member State (e.g. from Berlin to Munich) and EU air carriers will acquire the right to fly within Switzerland.
Finally, the agreements on air transport and on land transport integrate institutional and State aid provisions to ensure a level playing field between EU and Swiss operators in the fields covered by these agreements.
Is the update of the Mutual Recognition Agreement (MRA) and its Annex included in the package?
The Commission and Switzerland are working on the update of the MRA Annex, which will be part of the updated Mutual Recognition Agreement. The Annex notably refers to sector specific rules for twenty product sectors. It also contains provisions for the mutual recognition of certificates confirming that products comply with the relevant requirements resulting from such sector specific rules.
The updated Agreement together with its Annex will enter into force together with the rest of the package, once both sides complete their ratification procedures.
What are the advantages of the Electricity Agreement?
The EU and Switzerland have been seeking to conclude an agreement on electricity for almost 20 years. With this agreement, Switzerland will integrate into its legal order EU legislation supporting the internal electricity market and will hence gain access to this market.
In addition to providing legal certainty for EU and Swiss actors working in the electricity sector on rules applicable in each jurisdiction, the agreement will provide greater stability of the electricity grid, increased security of supply in electricity for both the EU and Switzerland, and more efficient trading conditions, thus maximising social welfare. Detailed provisions reflecting Swiss specificities apply as regards winter reserves.
Finally, this agreement will also contribute to reaching a fully decarbonised electricity system and therefore facilitate the EU reaching Net Zero by 2050.
What are the benefits of a Common Food Safety Area?
Over the years, the EU and Swiss legislation regarding the control of animal diseases have gradually become similar.
With the establishment of a Common Food Safety Area, the EU and Switzerland have agreed to deepen and extend their cooperation, by replacing the multiple sets of rules that presently govern their bilateral agri-food flows by a single rule book and integrated control system covering the entire food chain. It will notably include food and feed safety, plant health and plant protection products, and animal health and welfare.
Animals, plants, food and feed will circulate between the EU and Switzerland according to the same rules as within the Member States. Consignments from third countries will be subject to the same sanitary and phytosanitary checks upon their arrival in Switzerland as in any other Member States. This means that the same checks will be applied at Geneva or Zurich airport, or in Dunkirk’s port or Schiphol’s airport on imported food, feed, plant or animals.
Consumers in the EU and Switzerland will be reassured that the same set of high standards regarding food, feed and other products related to the food chain is simultaneously applied across both sides at any given moment in time. Food and feed producers and businesses in the EU and Switzerland will benefit from clearer and more transparent rules, which will make exchanges smoother and easier.
Does the Common Food Safety Area mean that Switzerland will have to abandon its stricter standards regarding genetically modified organisms and animal welfare?
In a limited set of areas, the EU and Switzerland agreed that Switzerland could maintain standards that were different from those of the EU. This is notably the case for genetically modified organisms and animal welfare.
Both sides agreed that stricter Swiss standards should not adversely affect exports of the EU to Switzerland and that both sides should consult each other about important developments relating to these areas.
Will the Common Food Safety Area / the institutional solutions affect the tariff and quota concessions the EU and Switzerland agreed in the agricultural agreement?
This will not be the case. The EU and Switzerland’s respective tariff and quota concessions in Annexes 1, 2 and 3 of the Agreement on Trade in Agricultural Products are not affected by the Common Food Safety Area and the range of institutional solutions that come with it. Changes to that agreement are limited to a modernisation of its dispute settlement mechanism, to bring it in line with current practices in the EU and Switzerland’s respective trade policies.
Will the Common Food Safety Area lead to the harmonisation of the EU and Switzerland’s agricultural policies?
This will not happen. The Common Food Safety Area does not regulate how the EU and Switzerland should organise their own agricultural markets. Each side will continue to develop its own agricultural policies independently. Existing rules under the Agreement on Trade in Agricultural Products that relate to the protection of wines, spirits and geographic indications, as well as to organic farming, will not be subject to dynamic alignment.
What are the next steps in the process on the EU side?
The Commission will now proceed with the legal revision and the translation of the agreements and protocols that form the package into all official languages of the EU. This will then allow the Commission to make proposals to the Council for the signing and conclusion of the elements of the package.
Once the Council authorises the signing of the agreements and protocols, the Commission could sign them on behalf of the Union.
The Council would then request the consent of the European Parliament.
Finally, the Council would decide on the conclusion of the package, allowing for its entry into force.
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Press statement by President von der Leyen with President Amherd of the Swiss Confederation
Bern, 20 December 2024
Dear President, dear Viola Amherd,
Today is a very happy day. This agreement between the European Union and Switzerland is historic. Not only does it allow us to strengthen the lasting partnership between us, but this stronger bond is also vitally important in the broader context. After all, we respond together to the global realities we all have to navigate. We are living in times of rapid change. The global balance of power is constantly changing. Competition is growing ever fiercer. Technological advancements are having a greater and greater impact on how we do business and on how we live together in our democratic societies. Today’s world is highly interconnected. Geopolitical tensions from Ukraine to the Middle East to Asia immediately leave their mark, in Switzerland as in our 27 Member States. In these challenging circumstances, strong partnerships like ours are not just a benefit; they are a must. Switzerland and the European Union share common values, such as democracy, the rule of law, and our social market economy. We are both committed to the international rules-based order. We share our European continent. Our companies rely on the same transcontinental network of roads, rail, and waterways. We each benefit from closely interwoven scientific networks, supply chains, and export markets. We share the same languages, the same cultural roots, and often also family ties. In short, we are as close as you can be.
Through this agreement between the EU and Switzerland, we recognise what has grown between us historically. Today we also take our cooperation to a new level and modernise the foundation of our rich ties. This agreement ensures our partnership is fit for the future, enabling both sides to fully harness the potential of our close collaboration.
These intense negotiations have succeeded in striking a fair balance between the interests of Switzerland and the European Union. This agreement creates a level playing field, regardless of whether operators are established in the EU or in Switzerland. All of them enjoy unrestricted access to the EU single market. At the same time, we have secured our high standards for each other. In air and land transport, in trade, in the electricity market, renewable energies, and other new sectors. That creates certainty for businesses and consumers on both sides.
Second, we guarantee the free movement of people and workers for all EU citizens in Switzerland and also, conversely, for Swiss citizens in the European Union. Here too, we have succeeded in finding practical solutions to long-discussed issues, such as how to maintain a decent wage level and the rules on permanent residence. These points were hugely important. Because the reality is that, above all, people are behind our close partnership. For hundreds of thousands of our citizens, the border between us has long been only a notional one. They study on both sides of the border. They commute every day to work, whether by car, train, or bicycle. They shape their lives regardless of the colour of their passport. With the new agreement, the rights of citizens are protected on both sides.
Third, we note that Switzerland, by contributing to EU integration, has achieved what is important to us, because it is in the common interest of the European Union and Switzerland, this single market. And I am delighted that, with this agreement, we are moving forward into new areas and unlocking hugely important potential. We are doing so in health protection, for example, or cooperation on satellites and space research. We intend to deepen our long-standing and highly successful cooperation in research and innovation. For a long time, countless bright sparks on both sides have yearned for continuity and clarity, including for Horizon, but also for other programmes beyond it. For all of them we have good news today, namely that the Commission is ready to put in place – as soon as 1 January 2025 – transitional arrangements for Swiss companies, giving them immediate access to European programmes.This agreement is right on time on another level as well because it strengthens our joint global standing. Together, we can find better solutions in an increasingly complex world. Our common interests are at stake: resilient energy supplies and healthcare provision, safe food, freedom to travel, work, and study, fairer global trade. Our shared aim is to foster innovation and economic synergies. The agreement will keep us at the cutting edge. Public universities in Switzerland will charge EU students the same fees as their fellow Swiss students, and vice versa for Swiss students in the EU. Switzerland’s renowned research capabilities, its excellent infrastructure, and the EU’s unique single market will work in tandem. We are building a powerhouse that can hold its own with the world’s leading economies. Artificial intelligence, renewables, and biotechnology are just a few of the fields I could mention. Europe’s strength is its ability to forge equal partnerships and alliances. Together we rely on understanding, mutual trust, and a win-win outcome.
I would also like to express my sincere thanks to our lead negotiators, Ignazio Cassis and Maroš Šefčovič, and to all those who worked tirelessly behind the scenes to drive this forward so resolutely. Nine months of intensive negotiations. More than 200 meetings. This agreement lays the foundations for many good years together for people in Switzerland and the European Union. Among others, we have you, the negotiators, to thank for that. We know that the completion of the negotiations today is not the end of the story. It is the start of the next stage: ratification on both sides. May the constructive spirit that has brought us this far continue to guide us in the coming weeks and months. Let us show the world what is possible when good neighbours work together with trust towards a bright common future in a democratic and economically robust Europe.
Source – EU Commission
Remarks by EU Commissioner Šefčovič at the press conference on a modernised EU-Switzerland agreement
Bern, 20 December 2024
Good afternoon.
As just announced by President von der Leyen in Bern, today marks the successful conclusion of our negotiations with Switzerland to upgrade and expand our relationship.
These negotiations were launched in March this year. So, we are concluding after nine months of hard work, which proves our shared commitment to opening a new chapter.
The European Union and Switzerland are more than just neighbours. We are economic partners. We are geopolitical allies.
And with this remarkable milestone, we now have a chance: to modernise our relations, to keep them in step with the challenging times, and to unlock their full potential to the clear benefit of both sides.
Already now, the EU is Switzerland’s main trading partner, whereas Switzerland is our fourth for goods and third for services, with this overall bilateral trade worth some 550 billion euros.
As in all negotiations, we needed to strike the right balance between the interests of the European Union and Switzerland.
We listened carefully to Swiss concerns.
First, we modernise our relationship in areas where Switzerland has access to the EU Single Market, such as air and land transport, while ensuring a level playing field.
At the same time, Switzerland’s access will expand to new areas, like electricity, food safety and health.
I believe this matters to all economic operators, no matter whether they are based in the EU or Switzerland because our internal market drives our economic growth and global competitiveness.
Second, we protect the free movement of persons and workers as well as equal treatment of all EU citizens in Switzerland.
Similarly, EU students will maintain the same access to public universities in Switzerland as today, and under same tuition fees as Swiss students.
Again, to make all this reality, we have found solutions for the issues that are of greatest concern in Switzerland, such as wage protection, rights of permanent residence and the way in which Swiss universities function.
This is the human face of the close partnership between the EU and Switzerland.
Third, we ensure a regular contribution by Switzerland to EU cohesion, reflecting how close cooperation between the European Union and Switzerland will become.
Switzerland will provide its first regular contribution to EU Member States between 2030 and 2036.
There will be an annual payment of 375 million euros for the period from the entry into force of the package until 2036.
In addition, there will be an annual payment of close to 140 million euros per year from the end of 2024 until the entry into force.
I am glad to highlight that with this agreement, we will also deepen our long-standing and successful cooperation in research and innovation – something close to heart of many brilliant minds on both sides.
They will be happy to hear that the Commission is ready to apply transitional arrangements for Swiss entities as of upcoming January.
Ladies and gentlemen, hard work pays off.
I therefore want to appreciate my counterpart, Federal Councillor Ignazio Cassis, for his leadership and personal commitment,
as well as both our teams for their immense efforts and laser focus on helping find these balanced solutions.
But we take nothing for granted. Today’s conclusion of the negotiations means the start of the next phase – ratification on both sides.
I am convinced, however, that this is a positive, balanced deal worth promoting and supporting.
Thank you.
Source – EU Commission
Swiss Federal Council: Switzerland and the European Union welcome outcome of negotiations
Bern, 20.12.2024
President Viola Amherd and European Commission president Ursula von der Leyen met in Bern on Friday, 20 December, to mark the conclusion of negotiations between Switzerland and the European Union. They welcomed the outcome of the negotiations and discussed current issues regarding European policy and global developments.
Negotiations were officially launched by the president of the Swiss Confederation and the president of the European Commission in Brussels on 18 March. President Amherd stated that the outcome of the negotiations was the result of hard work and marked an important step on the path towards stabilising and further developing bilateral relations. The negotiating teams had managed to find balanced solutions that are in the interests of both sides.
Both sides commended the great efforts made during the nine-month negotiation process. At their meeting on Friday, Ms Amherd and Ms von der Leyen also discussed the next steps in the political process surrounding the negotiation package in Switzerland.
Another key topic was the global context in which Switzerland and the EU conduct their bilateral relations. Factors addressed included the growing influence of autocratic and protectionist ideas, the increasing number of conflicts and the fragmented global order. In view of the current geopolitical challenges, both sides emphasised the importance of cooperation in Europe.
Source – Swiss Federal Council
Federal Council takes note of substantive conclusion of Swiss–EU negotiations
Bern, 20.12.2024
At its meeting on 20 December 2024, the Federal Council took note with satisfaction the material conclusion of negotiations between Switzerland and the European Union (EU). It noted that the Swiss delegation, led by chief negotiator Patric Franzen, has met the objectives set under the negotiating mandate. The Federal Council has instructed the relevant departments to undertake the preparatory work needed to formally conclude negotiations.
The Federal Council noted that the chief negotiators for Switzerland and the EU have materially concluded talks with a positive outcome. It wishes to thank the entire negotiating team for its important work. Since 8 March of this year, when the Federal Council adopted the negotiating mandate, 197 negotiating sessions have been held. The material completion of talks is a major step towards the formal conclusion of negotiations, scheduled for next spring, when both chief negotiators will initial the final text of the agreements. In the meantime, Switzerland will continue to work with the EU on putting the documents into final legal form and the translation process. At national level, discussions with institutional partners (the cantons and Parliament) and social partners will be completed in parallel. Finally, the federal departments involved will also need to complete the necessary legislative work.
Aim of the negotiations
The government’s aim was to consolidate and further develop the bilateral approach with the EU. In the face of geopolitical instability and global crises, it is a strategic necessity for Switzerland to build stable, predictable relations with the EU and, in particular, with its neighbours. Developing trade, cooperating on scientific projects and jointly addressing current challenges are vital to Switzerland’s security and prosperity. For nearly 25 years, the bilateral approach has contributed substantially to Switzerland’s success. It is essential to continue along this path, benefiting from stable and legally clarified relations.
Package approach
In 2021, the Federal Council decided not to move ahead with the institutional framework agreement and to continue the bilateral approach, opting to negotiate single market access on a sector-by-sector basis. On 23 February 2022, it therefore decided to negotiate a package of measures, using a vertical approach aimed at anchoring the institutional issues in the individual agreements and achieving a balance of interests. The Federal Council also sought new agreements on electricity, food security and healthcare as well as cooperation agreements on research and education. Furthermore, it expressed its willingness to discuss continued Swiss contributions to ensure EU cohesion as part of the negotiating package.
Exploratory talks and negotiating mandate
The exploratory talks with the EU commenced in March 2022 and concluded at the end of October 2023. The ‘Common Understanding’ reached outlined the broad goals for each element of the package identified by the Swiss and EU delegations. On 15 December 2023, the Federal Council adopted a provisional negotiating mandate based on the Common Understanding. It also decided to launch consultations on the relevant issues with institutional, social and economic partners in Switzerland. At its meeting on 8 March 2024, the Federal Council approved the definitive negotiating mandate, which took account of consultations with the Foreign Affairs Committees (FACs), other parliamentary committees, the cantons and input from social and economic partners. All documents relating to the negotiations, including the Common Understanding and definitive negotiating mandate, were published at this stage.
Negotiations
The Swiss delegation led the negotiations on the basis of the objectives set under the negotiating mandate. Alongside the negotiations, over 150 consultations were conducted with the cantons, parliamentary committees, social partners and economic partners in Switzerland. This work was coordinated through a project organization set up by the Federal Council in September 2022. The Federal Council was updated regularly on progress, while high-level political dialogue was maintained with the European Commission. At the same time, domestic policy actors were informed of progress at regular intervals.
Outcome of negotiations
The Federal Council notes that the objectives set for each area of the negotiating mandate have been met. The successful outcomes of the negotiations, which are in Switzerland’s interests, clear the way for implementation of the package-based strategy.
Provisions on institutional issues have been incorporated directly into the single market agreements, while rules on state aid only apply to three specific areas: air transport, road transport and electricity. The objectives regarding the free movement of persons have been met: maintaining an immigration system based on economic needs, limiting the impact on social security schemes by deploying effective mechanisms to prevent abuse, and respecting the provisions of the Federal Constitution governing expulsion for criminal offences. Switzerland also concretized the safeguard clause to address any unexpected effects of free movement. Moreover, long-term wage and working conditions for posted workers have been secured, maintaining the current level of protection.
In addition to those in immigration and wage protection, Switzerland also successfully negotiated exceptions to protect key interests relating to overland transport, agriculture and electricity. Finally, there will be no impact on the public sector.
Transition period
Switzerland and the European Commission have agreed arrangements for cooperation which will apply from the end of 2024 to the date on which the package takes effect.
The transitional arrangements for research and innovation will be fully implemented from 1 January 2025, giving stakeholders in Switzerland near-complete access to calls for tender issued by Horizon Europe, Euratom and Digital Europe Programme.
Switzerland and the Commission have also agreed to cooperate during the transition period with a view to ensuring the effective operation and security of electrical grids and to take joint action to protect citizens from cross-border health threats. They agreed to extend the transitional arrangements for road transport to allow Switzerland to participate in the European Union Agency for Railways beyond 2025.
Switzerland and the Commission will cooperate closely to ensure that the single market agreements currently in effect operate correctly. They will discuss, in particular, the implementation of the Agreement on Mutual Recognition in relation to Conformity Assessment (MRA). Dialogue on financial market regulation, which was resumed on 4 July 2024, will continue.
In accordance with its negotiating mandate, Switzerland has undertaken to pay an additional financial amount reflecting the extent of its cooperation with the EU between the end of 2024 and the end of 2029 in the field of cohesion. This financial commitment for the transitional period amounts to CHF 130 million for each year from 2025 until the end of 2029. This sum will be allocated directly to programmes and projects in Switzerland’s partner countries within the EU. It will only be due from the entry into force of the package agreements.
Swiss contribution
During the negotiations, a mechanism was defined for Switzerland to make regular contributions to EU cohesion from 2030 onwards, which had been a key feature of the bilateral approach. As in the past, these contributions will help to fund joint projects in partner countries which also address shared challenges such as migration. The Federal Council agreed an annual payment of CHF 350 million for the period 2030–2036.
Cooperation with the cantons and other partners
In accordance with Article 55 paragraph 3 of the Federal Constitution, the cantons were included in the negotiations, where appropriate, as the Confederation’s institutional partners.
The cantons sought to be closely involved in the exploratory talks right from the outset and participated in the negotiations in various tracks. The cantons set out the terms of their support in a statement dated 24 March 2023, subsequently clarifying their position on the negotiating mandate on 2 February 2024. In the light of the outcome of negotiations, the Federal Council noted that the cantons’ concerns had been duly addressed.
The government was also briefed on the progress of talks on internal implementation and accompanying measures with the cantons, social partners, economic actors and stakeholders involved in key areas of the package. The Federal Council would like to thank all parties for their constructive collaboration. The departments involved (the EAER, FDJP, DETEC and FDFA) have been instructed to continue discussions and submit their findings to the Federal Council.
Next stages
The work with the EU on legal issues and translations will continue with the aim of finalising the agreements and formally concluding negotiations, at which point both chief negotiators will initial the final text. The material completion of negotiations will make it possible to complete the legislative package and accompanying measures required for implementation.
In cooperation with the FDHA, FDJP, FDF, EAER, DETEC and Federal Chancellery, the FDFA has been instructed to prepare a draft dispatch on the overall Swiss–EU package, including the agreements, amendments to Swiss legislation and accompanying measures. The Federal Council will need to decide whether to launch a regular consultation on the draft dispatch before next summer, with a view to submitting it to Parliament in early 2026.
Legal structure of dispatch to Parliament
The Federal Council’s preferred option is to issue a ‘stabilisation’ dispatch which would cover the agreements aimed at stabilising the bilateral approach (updated existing agreements, state aid rules, participation in EU programmes and Swiss contribution). A separate ‘development’ dispatch would cover the three new agreements aimed at developing the bilateral approach. The Federal Council will ultimately determine the structure of the package and nature of the referendum once the consultation has been launched. However, the final decision lies with Parliament.
Source – Swiss Federal Council
Swiss President Viola Amherd: Today marks a milestone in the stabilisation and further development of bilateral relation
Bern, 20.12.2024 – Media statement by President Viola Amherd, head of the Federal Department of Defence, Civil Protection and Sport (DDPS), following the meeting with European Commission president Ursula von der Leyen marking the conclusion of negotiations between Switzerland and the European Union, Bern, Friday, 20 December 2024.
Check against delivery
Frau Präsidentin, Exzellenzen
Meine Damen und Herren
Ich freue mich sehr über Ihren Besuch in Bern und über den materiellen Abschluss der Verhandlungen zwischen der Schweiz und der Europäischen Union.
Gemeinsam würdigen wir diesen bedeutenden Schritt auf dem bilateralen Weg und den intensiven Prozess, der dazu geführt hat.
Es ist unseren Verhandlungsteams mit sehr grossem Einsatz gelungen, ausgewogene Lösungen zu erarbeiten, die im beidseitigen Interesse sind.
Der Bundesrat hat sich bereits am 13. Dezember mit dem Stand der Verhandlungen befasst. Heute hat er über die letzten Fragen entschieden.
Meine Kollegen aus dem Europa-Ausschuss des Bundesrates werden im Anschluss an unsere Statements an einer Medienkonferenz auf die einzelnen Punkte im Detail eingehen.
Der heutige Tag ist ein Meilenstein für die Stabilisierung und die Weiterentwicklung der bilateralen Beziehungen.
Das kommt der Bevölkerung in der Schweiz und im EU-Raum zugute. Den Volkswirtschaften, Arbeitnehmerinnen und Arbeitnehmern, Konsumentinnen und Konsumenten, Studierenden und den Forschenden – also der ganzen Gesellschaft.
Stabile Verhältnisse sind angesichts der geopolitischen Herausforderungen unserer Zeit ein hohes Gut. Durch gefestigte bilaterale Beziehungen können wir auch dazu beitragen, den Kontinent insgesamt zu stärken.
Die Schweiz und Europa stehen für grundlegende Werte: Demokratie, Rechtsstaat und Volkswirtschaft, die unternehmerisches Denken und soziale Errungenschaften verbinden. Das ist ein menschenfreundliches Modell. Wir haben die Verantwortung, es sturmfest zu machen und unsere Werte in die Zukunft zu tragen.
Gerade deswegen haben sich unsere Verhandlungsdelegationen nichts geschenkt. Sie haben in 200 anspruchsvollen Sitzungen nach Lösungen gesucht, die für beide Seiten funktionieren. Dieser Prozess ist nun materiell abgeschlossen. Und der Bundesrat ist überzeugt, dass das Verhandlungsresultat gut und für beide Partner vorteilhaft ist.
- Ich danke den Delegationen für ihren ausserordentlichen Einsatz.
- Ich danke den involvierten Departementen und den Mitarbeitenden der Bundesverwaltung, die diesen komplexen Prozess geführt und mitgestaltet haben. Ohne enge und gute Zusammenarbeit zwischen den Departementen ist ein Resultat wie es nun vorliegt nicht möglich.
- Ich danke auch insbesondere den Kantonen und den Wirtschafts- und Sozialpartnern, die in einem föderal organisierten Land wie der Schweiz für Lösungen unverzichtbar sind.
- Schliesslich danke ich der Europäischen Kommission und Ihnen, Frau Präsidentin, für die intensive und vertrauensvolle Zusammenarbeit in den vergangenen Monaten.
Geschätzte Frau Präsidentin,
Wir haben die Verhandlungen am 18. März eröffnet. Davor haben wir uns schon am WEF in Davos ausgetauscht.
Insgesamt hatten wir mehr als ein halbes Dutzend Treffen dieses Jahr, zuletzt beim Gipfel der Europäischen Politischen Gemeinschaft in Budapest.
Ein wichtiges Thema war bei diesen Treffen die Sicherheit in Europa und insbesondere der Krieg in der Ukraine.
Auch sprachen wir jeweils über die zunehmenden Konflikte, die fragmentierte globale Ordnung und den wachsenden wirtschaftlichen Protektionismus.
Dies ist der globale Hintergrund, vor dem die Schweiz und die EU ihre bilateralen Beziehungen regeln.
Es freut mich sehr, dass wir zu einem guten Abschluss gekommen sind, bei dem die vom Bundesrat festgelegten Ziele erreicht werden konnten.
Damit sind die politischen Debatten in der Schweiz lanciert.
Nach einer Phase der rechtlichen Überprüfung und dem formellen Verhandlungsabschluss mit der Paraphierung, werden in der Schweiz das Parlament und dann die Stimmbevölkerung die Hauptrollen übernehmen.
Demokratische Prozesse brauchen ihre Zeit. Sie sind nicht immer einfach. Dafür punkten sie mit höchster Legitimität.
Frau Präsidentin,
Meine Damen und Herren,
Das Verhandlungsergebnis, das im Zentrum unseres Treffens steht, ist das Resultat harter Arbeit.
In einem global betrachtet schwierigen Umfeld ist es ein starkes, positives Signal, dass sich die Schweiz und die EU verständigen konnten.
Merci!
Source – Swiss Federal Council