On 20 December, Ursula von der Leyen, President of the European Commission, and Viola Amherd, President of the Swiss Confederation, announced the successful conclusion of negotiations on a comprehensive agreement aimed at strengthening the EU-Switzerland relationship. This agreement covers key areas such as electricity, state aid, transport, and freedom of movement while also addressing Switzerland’s financial contribution to the EU.
Switzerland’s annual payment will remain at 130 million Swiss francs until the end of 2029. Then, according to the Swiss government, it will rise to 350 million francs from 2030 through 2036. This accord reflects a commitment to enhancing economic and social cohesion within the EU and demonstrates the partnership between the two parties.
Both leaders recognised the hard work that went into the nine-month negotiation process and the balanced solutions achieved. Amherd explained that the outcome of these negotiations is a significant step toward stabilising and further developing bilateral relations. They also discussed future steps in the political process and acknowledged the importance of European cooperation amid growing geopolitical challenges.
“This agreement between the European Union and Switzerland is historic,” highlighted President of the European Commission Ursula von der Leyen. She added that it reflects the deep ties that have grown between the EU and Switzerland.
“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,” von der Leyen stated.
The comprehensive package aims to modernise five key agreements between Switzerland and the EU that currently provide access to the EU internal market. These agreements cover air and land transport, the free movement of persons, conformity assessment, and trade in agricultural products.
Each agreement will reflect EU legislative developments and include dispute resolution and relevant state aid disciplines. New agreements will establish a Common Food Safety Area, enable Switzerland’s participation in EU health mechanisms to tackle cross-border threats, and allow Switzerland to participate in the EU internal electricity market.
Switzerland will also participate in various EU programmes, such as Horizon Europe, Erasmus+, and EU4Health. To facilitate Swiss participation, the Commission will implement transitional arrangements starting 1 January 2025. A separate agreement will also cover Switzerland’s role in the EU Space Agency, focusing on the Galileo and EGNOS components.
Based on a Common Understanding between the Commission and the Federal Council in October 2023, the negotiations officially began on 18 March 2024 under Commissioner Maros Šefčovič‘s leadership and a mandate from the Council. Over 200 meetings were held to reach an agreement.
This completion marks the end of a critical phase and initiates the signature and ratification process in the EU and Switzerland. The EU is committed to successfully concluding this process and expects the Swiss side to do the same to enhance bilateral relations.
“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,” Maroš Šefčovič, Commissioner for Trade and Economic Security; Interinstitutional Relations and Transparency, underlined.
“As in all negotiations, we needed to strike the right balance – by safeguarding the 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,” the Commissioner added.
