Import and export in Switzerland: the complete guide for 2021

Although hit hard by the Covid-19 pandemic, the Swiss import/export sector is nevertheless showing signs of recovery at the start of 2021: a 5.4% increase in exports and a 3.3% increase in imports, according to the FCA. But to make the most of this new momentum in your business, it is best to have a detailed understanding of the regulations in force in the Swiss import/export sector!

In this article, you’ll find all the key details and stages of import/export in Switzerland, thanks to our comprehensive guide, whether you’re a Swiss, European or non-European company.

The specific characteristics of the Swiss market

As Switzerland has numerous trade partnerships, particularly with its closest European neighbours, it has, over the years, established a number of agreements designed to facilitate trade with the member states of the European Union (EU).

Thus, the 1972 Free Trade Agreement between Switzerland and the European Economic Community (EEC), supplemented by Bilateral Agreements I and II of 1999 and 2004, mainly provides for the free movement of certain industrial and agricultural products by air and road between Switzerland and EU countries.

Given that over 70% of Switzerland’s foreign trade is with its European partners, importing and exporting goods from Switzerland does not generally present any particular difficulties, either in terms of costs or delivery times.

When it comes to importing and exporting from a non-European country, the conditions are slightly different. Indeed, importing goods from a country outside the EU requires them to be cleared through customs, whereas exporting goods from Switzerland often involves paying customs duties and other charges.

Importing goods into Switzerland: how does it work?

All goods imported by a Swiss company must be declared to the Federal Customs Administration. The administrative formalities relating to importation take place before, during and after the goods clear customs. They generally depend on the nature of the goods being imported.

Procedures for importing goods into Switzerland

Before going through customs

When sending goods to Switzerland, the exporter must ensure they provide the accompanying documents giving a certain amount of information about the goods, namely:

• their weight;
• their origin;
• their value;
• their tariff number (in order to determine their applicable tax rate).

Good to know: The exporter of the goods can provide this information to customs in the form of an invoice or a delivery note, although the latter is not mandatory. They can also include a certificate of origin to provide proof of the goods’ origin.

Whether it is submitted by the exporter themselves or by a freight forwarder, the digital customs declaration is mandatory before the goods are dispatched. To do this, simply enter the information about the goods mentioned above via the FCA’s e-dec IT system.

This declaration is made, in particular, according to the customs destination of the goods, namely:

• permanent importation;
• temporary importation;
• placement in a bonded warehouse;
• transit.

Good to know: The exporter or freight forwarder then receives the import list and the release note from customs, in PDF format.

When going through customs

When crossing the Swiss border, goods must be presented at the customs office.

The following must then be handed over to customs staff:

• the number of the goods’ import list (or a copy of the PDF received when the digital customs declaration was made);
• the accompanying documents gathered beforehand.

After a quick check and depending on the validity of the documents provided, customs may then:

• order a physical inspection of the goods, if necessary;
• release the goods.

After going through customs

It is at the time of the customs declaration that customs issues the duty and VAT assessments for the company transporting the goods into Switzerland.

Swiss importing companies are generally subject to two types of payment as part of their transactions:

• customs duties, the amount of which depends in particular on the condition of the goods, their weight, their material and their intended use;
• the Value Added Tax (VAT), which is generally 7.7%, although a number of goods benefit from a reduced rate of 2.5%, including foodstuffs, medicines and books.

Please note: You can find the full list of goods eligible for a reduced rate by consulting Article 25 of the Federal Act on Value Added Tax.

However, various additional taxes and duties may be added to the bill depending on the nature of the imported goods, in particular:

• tobacco tax;
• the alcohol monopoly duty;
• mineral oil tax…

The exporter (or the freight forwarder appointed to transport the goods) then invoices the importing company for the transport of the goods as well as the work carried out in connection with customs clearance.

Good to know: The importing company no longer receives proof of the assessment by post, as used to be the case with the customs receipt (yellow slip), but electronically.

A few specific cases

Importing samples

In Switzerland, samples – that is, foreign goods intended to be used for a limited period of time (and which are therefore not released for free circulation) – fall under the temporary admission procedure.

It is the intended use of these goods that determines whether or not they are granted temporary admission onto Swiss soil. They are, for example, imported for trials, sporting events or exhibitions.

Furthermore, in order to benefit from this specific procedure, the goods must meet the following conditions:

• be intended for re-export;
• be identifiable;
• be re-exported unchanged at a later date (only maintenance operations are permitted).

To set up the temporary admission procedure for your goods, the following documents are available to you:

• the Customs Declaration for Temporary Admission (DDAT);
• the ATA Carnet.

See also: 5 Steps to Obtaining Your ATA Carnet (Quickly).

Importing animals, animal products or foodstuffs

To import animals or animal products into Switzerland, you must first obtain certain health certificates issued by the competent authorities of the exporting country.

In addition, importing certain types of fresh fruit, vegetables and wild plants requires official phytosanitary certificates, issued by the goods’ country of origin.

Prohibitions and restrictions

The import (as well as the export or transit) of certain goods is strictly prohibited or restricted in Switzerland. These specific rules are generally explained by the following reasons:

• environmental;
• cultural;
• safety;
• health protection;
• intellectual property…

Please note: You can find the full list of goods whose import, export or transit is prohibited in Switzerland on the FCA’s website.

Further details on import taxes and customs duties

Excluding VAT, the customs threshold above which customs duties are payable is CHF 300. This amount is based on the total value of the goods imported into Switzerland (including alcohol and tobacco).

Excluding agricultural products, the average trade-weighted customs duties applied were 2% in 2018, according to the World Trade Organization (WTO).

Agricultural products that do not originate directly from Swiss soil are generally taxed lightly (0.2% for fish and fishery products, 3.7% for coffee and tea), while those produced in Switzerland are taxed far more heavily (138.9% for dairy products, again according to the WTO).

Good to know: Switzerland has introduced a Generalised System of Preferences (GSP) to support developing countries. Thanks to this system, preferential tariffs are granted to goods from these countries, particularly in the industrial sector.

Exporting goods from Switzerland: how does it work?

All goods exported by companies from Switzerland must be declared to the FCA electronically. As with importing, the declaration of goods can be entrusted to an intermediary, freight forwarder or customs agent, appointed in writing. A number of formalities must also be taken into account in order to successfully complete the export process.

Procedures for exporting goods from Switzerland

In order to leave Swiss territory, goods must therefore be declared at export customs. The declaration completed by the exporter or their intermediary must contain the correct tariff number, which can be found on the TARES website.

As with the importation of goods into Switzerland, goods intended for export must be accompanied by documents providing customs services with a certain amount of essential information. The export customs declaration (DDE) is completed online, via the FCA’s e-dec IT system.

Good to know: Goods exported from Switzerland are exempt from VAT and customs duties. However, their importer will have to pay these various taxes. For more information on the exact conditions of this exemption, see the corresponding page on the FCA website.

Authorised consignor status

Companies that regularly export goods from Switzerland can obtain Authorised Consignor (AC) status, which allows them to complete their export declarations from their company’s registered office, or from any other approved location.

This status, which is subject to certain conditions (see the FCA’s website), allows the use of the EDa procedure, which offers advantages to regular exporters, in particular:

• flexibility in terms of timing, as the exporter no longer depends on customs opening hours;
• geographical independence, as the exporter no longer needs to route their goods through a customs office;
• a reduced risk of queues at the border.

The different types of export customs declarations

Depending on the goods you wish to export or the type of export you wish to carry out, different export customs declarations may be preferred, namely:

• Permanent export. This is the most common export procedure: goods in free circulation in Switzerland are permanently exported to another country.

• Temporary export. Goods in free circulation in Switzerland are temporarily exported to another country. Both parties are already aware of this temporary nature at the time of export.

• Applying for export contributions. This can be done when the exported goods (generally agricultural products or derived goods) are sold at a higher price on Swiss soil than on the international market.

• Establishing proofs of origin. This allows the importer to benefit from a tariff preference (a reduction in, or even exemption from, customs duties), thanks to the documents provided by the exporter relating to free trade agreements.

Prohibitions and restrictions

Although the vast majority of exports from Switzerland are not subject to any particular restriction, some are restricted or even prohibited for various reasons.

The country of destination

Prohibitions, authorisation regimes, other types of measures… The export of goods from Switzerland can sometimes be heavily restricted or even totally prohibited by the countries of destination.

Generally, these measures specific to the importing country stem from considerations of:

• foreign policy;
• security.

To check for any restrictions or prohibitions specific to the country of destination for your goods, you can contact the State Secretariat for Economic Affairs.

The type of goods

Swiss foreign trade law can sometimes lead to strict export controls, resulting in the restriction or even total prohibition of the export of certain types of goods.

These restrictions are put in place for reasons of:

• security (dual-use goods);
• environmental protection;
• species protection;
• protection of cultural property…

To check for any restrictions or prohibitions specific to the types of goods being exported, you can contact the relevant federal offices.

Other

Exports from Switzerland may be subject to restrictions in other areas, in particular:

• external economic relations with specific institutions, organisations or individuals (for reasons of foreign policy or security);

• capital movements and payment transactions, when they involve foreign economic regions (under foreign trade law).

Here again, to check whether your exports are affected by these restrictions, you can contact the State Secretariat for Economic Affairs.

Further details on export taxes and customs duties

As stated above, Swiss exporting companies do not have to pay customs duties or VAT on their exports. Note, however, that these exemptions are subject to certain conditions.

Indeed, they only apply to direct exports, that is, when the goods are:

• either transported abroad;
• or taken to an open bonded warehouse (or a duty-free warehouse) by the exporter, the importer or an authorised third party.

For more details on the conditions for the direct export of goods, as well as tax exemption, you can contact the Federal Tax Administration (FTA).

Good to know: The person registered on the FTA’s list of taxable persons (supplier, purchaser or authorised third party) must certify the export by presenting the administration with a document serving as proof.

Generally, customs duties and other import charges will still be required in the destination country for your goods. You can therefore allow your customer to import the goods free of customs duties, or at least at a reduced rate, by strictly complying with the rules on establishing proofs of origin.

Import/export in Switzerland: packaging and labelling rules

The Swiss customs authorities pay particular attention to compliance with packaging and labelling standards for goods crossing the Swiss border, particularly with regard to food products.

Good to know: Swiss regulations on foodstuffs are generally identical to those of the European Union.

First of all, the packaging and labels of goods must be written in French, German or Italian, and must indicate:

• their specific names;
• their metric measurements;
• their selling prices;
• their unit prices;
• their weight (the weight of each component for blended products; ingredients and additives must be listed in descending order).

The various weight and measurement indications must comply with the standards of the Federal Office of Metrology.

For more specific products, additional labelling providing further information may be required. This may, for example, specify the product’s country of origin, the name of its manufacturer or distributor, or its expiry date.

Administrative procedures, taxes and customs duties, specific restrictions and limitations… The import/export process in Switzerland involves knowing and anticipating numerous steps and pieces of information, which now hold no secrets for you! You can now successfully carry out your imports and exports on Swiss soil in compliance with current regulations, while optimising your taxation.

However, an import/export business in Switzerland exposes you to a number of financial risks, particularly exchange rate risk. To best protect yourself when it comes to your payments in foreign currencies, don’t hesitate to use b-sharpe‘s online currency exchange service!