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WT/TPR/W/131

16 June 2017

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Trade Policy Review Body

* In Original language only/En langue originale seulement/En el idioma original solamente.

SWITZERLAND AND LIECHTENSTEIN

DRAFT MINUTES OF THE MEETING* HELD ON 16 AND 18 MAY 2017

Delegations are invited to submit factual corrections, if any, on their own statement to the

Secretariat (Mrs Barbara Blanquart: [email protected], or to [email protected]) no later than 30 June 2017.

Organe d'examen des politiques commerciales

SUISSE ET LIECHTENSTEIN

PROJET DE COMPTE RENDU DE LA RÉUNION* TENUE LES 16 ET 18 MAI 2017

Les délégations sont invitées à soumettre leurs éventuelles corrections factuelles concernant leurs propres déclarations au Secrétariat (Mme Barbara Blanquart: [email protected], ou [email protected]) le 30 juin 2017 au plus tard.

Órgano de Examen de las Políticas Comerciales

SUIZA Y LIECHTENSTEIN

PROYECTO DE ACTA DE LA REUNIÓN* CELEBRADA LOS DÍAS 16 Y 18 DE MAYO DE 2017

Las delegaciones pueden enviar a la Secretaría (Sra. Barbara Blanquart:

[email protected], o [email protected]) a más tardar el 30 de junio de 2017 las correcciones fácticas que deseen introducir en sus propias declaraciones.

mailto:[email protected]






WT/TPR/W/131 • Switzerland and Liechtenstein

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TRADE POLICY REVIEW

SWITZERLAND AND LIECHTENSTEIN

DRAFT MINUTES OF THE MEETING

Chairperson: H.E. Mr Juan Carlos Gonzalez (Colombia)

CONTENTS

1 INTRODUCTORY REMARKS BY THE CHAIRPERSON ....................................................... 3

2 OPENING STATEMENT BY THE REPRESENTATIVES OF SWITZERLAND AND LIECHTENSTEIN .............................................................................................................. 5

3 STATEMENT BY THE DISCUSSANT .............................................................................. 13

4 STATEMENTS BY MEMBERS ........................................................................................ 16

5 REPLIES BY THE REPRESENTATIVES OF SWITZERLAND AND LIECHTENSTEIN AND ADDITIONAL COMMENTS........................................................................................ 65

6 CONCLUDING REMARKS BY THE CHAIRPERSON ......................................................... 72

Note: Advance written questions and additional questions by WTO Members, and the replies provided by Switzerland and Liechtenstein are reproduced in document WT/TPR/M/355/Add.1 and

will be available online at http://www.wto.org/english/tratop_e/tpr_e/tp_rep_e.htm.


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1 INTRODUCTORY REMARKS BY THE CHAIRPERSON

1.1. The fifth joint Trade Policy Review of Switzerland and Liechtenstein was held on 16 and 18 May 2017. The Chairperson, H.E. Mr. Juan Carlos Gonzalez (Colombia) welcomed the delegation of Switzerland headed by Mrs. Marie-Gabrielle Ineichen-Fleisch, State Secretary for Economic Affairs; the delegation of Liechtenstein headed by H.E. Ambassador Peter Matt; and the discussant, H.E. Ambassador David Walker (New Zealand).

1.2. The Chairperson recalled the purpose of the Trade Policy Reviews and the main elements of the procedures for the meeting. The report by Switzerland and Liechtenstein was contained in document WT/TPR/G/355 and that of the WTO Secretariat in WT/TPR/S/355.

1.3. Questions by the following delegations had been submitted in writing before the deadline: United States; China; Ukraine; Republic of Moldova; Australia; Mexico; Norway; European Union;

Kingdom of Saudi Arabia; New Zealand; Brazil; Hong Kong, China; Colombia; Argentina;

Costa Rica; Malaysia; El Salvador; Chinese Taipei; Canada; Guatemala; and Ecuador. The following delegations submitted written questions after the deadline: Chile; Dominican Republic; Singapore; Thailand; Japan; Republic of Korea; and Turkey.

1.4. In 2013, Members had highlighted that Switzerland and Liechtenstein ranked among the world's most innovative and competitive economies in spite of high costs. They had appreciated Switzerland and Liechtenstein's generally open trade regimes and their strong support for the multilateral trading system and its negotiating forum. Nonetheless, agriculture had stood out as an

area that could benefit greatly from a more competitive environment. Members had also identified certain services sectors where further liberalization would be of interest to them.

1.5. The period under review was marked by developments in monetary policy. Turbulence in world markets frequently induced a flight into Swiss francs, and such persistent pressures led the Swiss National Bank to abandon its minimum exchange rate versus the euro in early 2015. The

initial economic contraction caused by currency appreciation was quickly reversed, and the Swiss economy resumed growth at a steady, though modest, pace. The Liechtenstein economy also

showed remarkable resilience in a challenging economic environment.

1.6. Both Switzerland and Liechtenstein formally accepted the Trade Facilitation Agreement in 2015. Liechtenstein became the first Member to ratify the revised Agreement on Government Procurement in 2013, while Switzerland's accession to the revised agreement might take place later this year. Pending approval by the Swiss Federal Parliament, tariff reductions stemming from the ITA II had been applied on a provisional basis since 1 January 2017.

1.7. Switzerland and Liechtenstein were both members of the European Free Trade Association (EFTA) and relied on the EFTA Framework to conclude an extensive network of free trade agreements with non-EU partners. During the period under review, new EFTA FTAs entered into force with certain Central American States, Bosnia and Herzegovina, and the Gulf Cooperation Council. Other agreements had been signed but were not yet in force. Switzerland's bilateral FTA

with China took effect in mid-2014. Its provisions relating to trade in goods also applied to Liechtenstein by virtue of the 1923 Swiss-Liechtenstein Customs Union Treaty.

1.8. Switzerland remained an attractive destination for foreign direct investment. Most sectors were open, but state monopolies restricted investment in railways, some postal services, and certain insurance services.

1.9. Developments in trade policy instruments over the last four years were reflected in the written questions posed by Members in advance of this meeting. The tariff regime was unique in its reliance on specific duty rates for all imports. As a consequence, low-priced imports faced higher ad valorem protection than high-priced imports of identical or similar items. High

agricultural tariffs provided scope for further trade liberalization, which might also reduce the economic impact of the present complex system of tariff quotas. Certain imported goods were subject to levies to finance compulsory reserve stock requirements for those goods. Although the

basic features of the trade regime were largely unchanged, some liberalization measures had been taken and further measures were under consideration. For example, tariffs had been suspended on


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certain textile items until the end of 2019, and Switzerland/Liechtenstein had joined a new system that simplifies the verification of origin for imports from LDCs.

1.10. Regarding non-tariff measures, Switzerland had been harmonizing technical requirements with the EU. A new food safety regime entered into force on 1 May 2017. From now on, all safe food items were to be allowed unless they had been explicitly prohibited. In the area of trademarks and geographical indications, "Swissness legislation" had been adopted to improve the

protection of the Swiss brand at home and abroad.

1.11. As for sectoral policies, Switzerland had been implementing its Agricultural Policy 2014-17, which involved a rearrangement and fine tuning of direct payments. Domestic procedures had been initiated to ensure the elimination of agricultural export subsidies by January 2019. Nevertheless, some Members continued to call for more market-oriented reforms.

1.12. Members showed interest in Switzerland's "Energy 2050 Strategy", particularly due to its

emphasis on renewable energy. In financial services, higher capital requirements now applied to systemically important banks, and anti-money-laundering legislation had been reinforced. Switzerland continued to pursue a liberal policy in air transport services, and the reform of Swiss postal services had been fully implemented.

1.13. This meeting might not provide answers to all questions Members had raised, but the Chairperson hoped it would give Members an opportunity to reflect more deeply on issues of interest and relevance to the multilateral trading system. He looked forward to an active and

fruitful exchange.


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2 OPENING STATEMENT BY THE REPRESENTATIVES OF SWITZERLAND (MRS. MARIE GABRIELLE INEICHEN-FLEISCH) AND LIECHTENSTEIN (H.E. AMBASSADOR PETER MATT)

MRS. MARIE-GABRIELLE INEICHEN-FLEISCH (SUISSE)

2.1. Nous vous sommes très reconnaissants de votre aperçu introductif. C'est avec plaisir que nous participons pour la 6ème fois à l'examen des politiques commerciales de la Suisse. Nous

sommes honorés de nous exprimer aujourd'hui devant une si large audience. Nous sommes également heureux de pouvoir mener cet exercice conjointement avec nos amis du Liechtenstein. Merci de prendre le temps de participer à ce processus qui nous est cher.

2.2. Nous remercions tout particulièrement l'Ambassadeur David Walker, Représentant permanent de la Nouvelle Zélande à l'OMC, qui nous fait l'honneur de tenir le rôle de présentateur dans cet

exercice.

2.3. Permettez-moi, Monsieur le Président, de relever également l'excellence du rapport du Secrétariat de l'OMC qui présente de manière claire et complète les politiques économiques et commerciales de la Suisse et du Liechtenstein. Le Secrétariat a fait preuve d'un professionnalisme exemplaire dans la conduite du processus de rédaction de son rapport. Les échanges entre les responsables suisses et nos collègues de la Division de l'examen des politiques commerciales ont été constructifs et enrichissants. Nous exprimons au Secrétariat toute notre gratitude.

2.4. Monsieur le Président, la Suisse apprécie à sa juste valeur le Mécanisme d'examen des

politiques commerciales qui constitue un pilier indispensable des activités de l'OMC. Dès le début, les examens ont contribué à mieux comprendre les politiques commerciales des Membres. L'exercice met en lumière les attentes et les souhaits des pairs examinateurs. Leurs interventions et questions permettent de cerner des points de convergence qui forment en quelque sorte un socle de valeurs communes. En cela, l'exercice n'est pas seulement profitable au Membre examiné.

Il est aussi important pour l'Organisation dans son ensemble car il dégage des orientations politiques qui pourraient être mises à profit pour renforcer le système commercial multilatéral.

2.5. Permettez-moi de saluer ici l'exercice récent d'évaluation et d'ajustement du Mécanisme d'examen des politiques commerciales mené sous la présidence de l'Ambassadeur Irene Young, Représente permanente de Hong Kong Chine. Cet exercice a abouti à un consensus bienvenu sur plusieurs aspects. Nous espérons que ces changements pourront être confirmés et mis en œuvre dans les meilleurs délais.

2.6. Sans compter les nombreuses sous-questions, nous avons reçu plus de 300 questions de

28 Membres, dont une partie non-négligeable est arrivée après l'échéance du 2 mai. Nous nous sommes efforcés d'y répondre à toutes avant la rencontre d'aujourd'hui. Nous tâcherons de clarifier, lors de la réunion de jeudi, les nouveaux points qui seront soulevés aujourd'hui.

Politique commerciale et renforcement de la compétitivité

2.7. Depuis le dernier Examen des politiques commerciales en 2013, la Suisse a été confrontée à un environnement économique exigeant. Elle a souffert de la modeste reprise économique depuis la crise financière, notamment dans la zone euro. Elle a aussi subi le contrecoup des pressions à la

hausse sur le franc suisse résultant entre autres de la faiblesse de l'euro. En dépit de ces conditions défavorables, l'économie suisse s'est montrée résiliente avec une croissance robuste sur la période 2013-2016. La solidité de la demande domestique a en effet compensé le déclin momentané de la performance de notre commerce extérieur. Nous avons également pu compter sur la diversification des activités économiques, un marché du travail flexible, des finances publiques saines et la stabilité politique du pays.

2.8. La Suisse est une économie généralement ouverte. En 2015 et 2016, plus de 83% de nos

importations ont bénéficié d'un régime de franchise. Et en 2014 le taux moyen des droits de douane appliqués sur les marchandises industrielles atteignait à peine 1,8%. En comparaison avec

la moyenne mondiale, les coûts d'importation par container à la frontière suisse sont deux fois plus faibles, le temps qu'il faut à une marchandise pour la traverser est trois fois plus court, et le nombre de documents requis par nos douanes est deux fois plus petit.


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2.9. Par ailleurs, la Suisse a poursuivi son processus de réforme de l'agriculture. La nouvelle politique agricole, en vigueur depuis 2014, oriente davantage les mesures de soutien interne vers la promotion des ressources naturelles et vers la sécurité des approvisionnements. Toutefois, au regard des contraintes géographiques caractérisant le secteur agraire et des demandes de la société civile, les mesures de protection à la frontière et le soutien interne demeurent des éléments importants de notre politique agricole.

2.10. Avec des exportations représentant environ 60% du produit intérieur brut, la Suisse est l'un des pays les plus intégrés dans l'économie mondiale. Elle doit sa prospérité à la compétitivité internationale de ses entreprises, à leur capacité à innover et à leur spécialisation dans la production de biens et services à haute valeur ajoutée.

2.11. Afin de préserver ses atouts, la Suisse mène une politique commerciale qui s'inscrit dans une réflexion de long terme plus large inhérente à notre politique de croissance. L'augmentation

de la productivité́ du travail et le renforcement de la compétitivité́ et de l'esprit d'innovation sont au cœur de cette politique.

2.12. Pour atteindre ces objectifs, notre politique commerciale vise à promouvoir et à garantir des marchés ouverts tout en contribuant au développement durable. Nous œuvrons en faveur d'une libéralisation du commerce et des investissements internationaux tout en cherchant à atténuer les effets négatifs de la croissance. À ce titre, nous portons une grande attention à la durabilité et à la cohérence des différentes politiques internationales.

2.13. Parallèlement à l'ouverture de nouveaux marchés, la facilitation des importations par l'élimination des entraves commerciales revêt une importance croissante pour nos entreprises. Avec l'essor des chaînes de production mondiale, les marchandises - dont la plupart sont des produits intermédiaires - traversent les frontières plus souvent qu'auparavant. Les obstacles tarifaires et non tarifaires s'accumulent donc plus fréquemment et génèrent des coûts supplémentaires qui réduisent la compétitivité internationale des producteurs domestiques.

2.14. En revanche, la facilitation des importations abaisse les coûts de transaction et renforce la

concurrence sur le marché intérieur. In fine, elle profite aux consommateurs de même qu'aux entreprises exportatrices achetant des biens intermédiaires. Ces dernières peuvent ainsi optimiser leurs processus de production et s'intégrer au mieux dans les chaînes de valeur mondiales.

2.15. Pour la Suisse, la facilitation des importations se traduit surtout par une simplification des procédures douanières, une réduction du temps d'attente en douane, ou encore par la réduction des tarifs douaniers. Le Gouvernement prévoit d'étudier les avantages et les inconvénients d'une

suppression unilatérale des tarifs douaniers sur les produits industriels ainsi que d'une réduction ponctuelle des droits de douane dans le secteur agroalimentaire.

Système commercial multilatéral

2.16. Un système commercial multilatéral prévisible, transparent et fondé sur des règles est le pilier le plus important de notre politique commerciale. Nous nous engageons sans réserve en faveur du maintien du système et de son amélioration, et en faveur d'une OMC garante de l'ouverture des marchés internationaux et de solutions intégrant l'ensemble de la communauté

internationale. Nos efforts se font en cohérence avec l'ensemble de nos engagements internationaux tels que l'agenda 2030 des Nations Unies ainsi que la 21ème Conférence des Parties de Paris sur le climat.

2.17. Les deux dernières conférences ministérielles à Bali en 2013 et à Nairobi en 2015 nous ont donné l'occasion de démontrer notre attachement au système commercial multilatéral. À Nairobi en particulier, la Suisse a consenti un effort majeur pour se rallier au consensus sur la concurrence à l'exportation. Cette décision ministérielle nécessite une réforme profonde que nous préparons

actuellement.

2.18. Il va sans dire que les résultats tangibles obtenus lors des deux dernières conférences

ministérielles sont le fruit des efforts de tous les Membres. Nos succès ont envoyé un message fort à tous ceux qui ont mis en doute la crédibilité de l'OMC. Mettons l'Organisation à profit pour relever les défis que nous adressent les changements structurels de l'économie mondiale, à


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commencer par sa digitalisation. La Suisse est prête à participer activement à ce projet à la hauteur des principes et objectifs de long terme de l'OMC.

2.19. L'OMC est également un forum où l'on surveille la bonne application des règles du système commercial multilatéral. Elle joue un rôle crucial dans l'endiguement des tendances protectionnistes et la résolution des litiges commerciaux sur la base du droit. Le mécanisme de règlement des différends est, à n'en point douter, au cœur du système. Le respect de ses décisions

constitue le meilleur moyen d'assoir la crédibilité des règles de l'OMC. Ces fonctions, qui relèvent de la gestion et de l'exécution de l'acquis, revêtent une importance fondamentale. Cependant, la bonne conduite du travail régulier de l'OMC dépend foncièrement de la transparence des politiques et pratiques commerciales. Il est donc essentiel que les Membres observent avec rigueur leurs obligations de notifications. Cette injonction s'adresse naturellement aussi à la Suisse.

2.20. Comme d'autres Membres, la Suisse s'emploie à faciliter le débat et à jeter des ponts entre

les protagonistes. C'est dans cet esprit que nous accueillons chaque année la traditionnelle rencontre ministérielle informelle de l'OMC en marge du Forum économique mondial de Davos. Nous coordonnons aussi des groupes informels tels que le G10 ou la coalition W52 de même que les "Friends of the System". Ce dernier groupe réunit des pays développés et en voie de développement qui ont pour but de préserver et d'améliorer le système commercial multilatéral. En outre, nos représentants assument régulièrement la présidence de divers organes et processus de l'OMC.

Commerce préférentiel

2.21. La conclusion d'accords commerciaux préférentiels constitue un complément aux engagements de la Suisse à l'OMC. Cette politique ne nous détourne pas du système commercial multilatéral. Au contraire, elle le renforce. De fait, les accords de libre-échange contribuent à l'ouverture globale des marchés. Nous espérons qu'à terme ces efforts de libéralisation bilatéraux et régionaux pourront graduellement se consolider et se multilatéraliser à l'OMC.

2.22. Le réseau d'accords de libre-échange de la Suisse est un instrument central de sa politique

économique extérieure. Parmi nos partenaires sous régime préférentiel, l'Union européenne est de loin le plus important: 54% de nos exportations de marchandises y sont destinées, et 72% de nos importations proviennent de l'Union européenne. Dans ces circonstances, la voie bilatérale avec l'Union européenne reste une priorité pour le Gouvernement suisse. Depuis notre dernier examen de politique commerciale, le cadre bilatéral entre la Suisse et l'Union européenne s'est étendu à la Croatie après que celle-ci ait rejoint l'Union européenne en 2013. Depuis 2014 se tiennent des

négociations sur des aspects institutionnels. D'autres sujets comme le marché de l'électricité et la sécurité alimentaire sont en cours de discussion.

2.23. Nos relations bilatérales avec l'Union européenne, traditionnellement excellentes, ont été affectées par l'acceptation d'une initiative populaire sur l'immigration adoptée le 9 février 2014. Il en est résulté un climat général d'incertitude. Fidèle à leur volonté de se conformer aux engagements internationaux de la Suisse, le Gouvernement et le Parlement ont mis en œuvre les

résultats de cette votation en respectant les accords existants avec l'Union européenne, et

notamment l'accord sur la libre circulation des personnes.

2.24. L'Union européenne n'est évidemment pas le seul partenaire de libre-échange de la Suisse. Nous accordons aussi beaucoup d'importance à l'extension et à l'approfondissement de notre réseau d'accords de libre-échange de portée mondiale. À la fin 2016, la Suisse disposait de 28 accords de libre-échange impliquant 38 pays non-membres de l'Union européenne et de l'AELE. Depuis notre dernier examen, 6 nouveaux accords ont été conclus par la Suisse et ses partenaires de l'AELE avec le Costa Rica, le Panama, le Guatemala, la Bosnie-Herzégovine, la Géorgie et les

Philippines. Un septième accord purement bilatéral a été conclu entre la Suisse et la Chine. Associée à ses partenaires de l'AELE, la Suisse mène actuellement des négociations avec l'Équateur, l'Inde, l'Indonésie, la Malaisie et le Viet Nam. En outre, des négociations avec le Mercosur débuteront prochainement. Des négociations visant à approfondir et à actualiser les accords conclus avec le Chili, le Mexique et la Turquie sont également en cours. D'autres processus

de discussions ont débuté avec l'Algérie, la Thaïlande, la Russie, la Biélorussie et le Kazakhstan.


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Commerce et développement

2.25. L'intégration des pays en voie de développement dans l'économie mondiale est l'un des trois piliers de la politique économique extérieure de la Suisse. La promotion du commerce est d'ailleurs un objectif clé de notre coopération au développement pour la période 2017-2020. Nous contribuons ainsi au renforcement des conditions cadre favorisant le commerce international et les investissements dans une vingtaine de pays. Cet engagement se concrétise au travers d'initiatives

multilatérales ou bilatérales. Il vise à aider les petites et moyennes entreprises des pays bénéficiaires à créer des emplois et à augmenter leurs capacités d'exportation. La Suisse soutient également de nombreux pays parmi les moins avancés à se conformer aux standards et prescriptions techniques internationaux.

Commerce et durabilité

2.26. En accord avec l'agenda 2030 des Nations Unies, nos contributions en matière de commerce

et de développement s'inscrivent dans notre stratégie de long-terme pour un développement durable. Cette stratégie englobe aussi bien la protection de l'environnement et les défis qui entourent le changement climatique que la promotion de normes sociales. À nos yeux, les travaux de l'OMC doivent s'effectuer en cohérence avec les autres politiques internationales, notamment environnementales et sociales.

2.27. La Suisse promeut cette cohérence, par exemple par sa participation active au Comité sur le commerce et l'environnement et aux négociations pour un Accord sur les Biens Environnementaux.

Après les efforts considérables consentis par les participants à ces négociations, nous espérons qu'un consensus final pourra être trouvé dans un proche avenir. En ligne avec l'objectif de développement durable 14,6, nous appuyons les processus multilatéral et plurilatéral traitant des subventions à la pêche. Dans ce contexte, je souhaite souligner que la Suisse a récemment promulgué une réglementation prohibant les importations de pêche illicite, qui sont non déclarées et non réglementées.

2.28. Hors du contexte de l'OMC, la Suisse s'engage en faveur de l'élimination des subventions

aux énergies fossiles et pour la prohibition des exportations de mercure sous certaines conditions. Elle apporte son soutien au programme de la CNUCED sur la facilitation du commerce de produits biologiques et au programme de l'ONUDI sur les modes de production propre et économes en ressources. Depuis 2010 déjà, tous nos accords de libre-échange contiennent un chapitre sur le commerce et le développement durable. Avec certains partenaires, la Suisse a engagé des dialogues sociaux qui accompagnent la mise en œuvre de nos accords de libre-échange. L'année

passée, le Gouvernement a adopté un plan national d'action sur la mise en œuvre des principes directeurs de l'ONU relatifs aux entreprises et aux droits de l'homme.

Prochaines étapes

2.29. À l'avenir, la Suisse continuera à œuvrer avec détermination en faveur du développement durable et du renforcement du système commercial multilatéral.

2.30. Monsieur le Président, nous n'ignorons pas que l'OMC traverse en ce moment une période difficile. Que de nombreuses incertitudes pèsent sur l'issue des travaux en cours. Mais ces

circonstances ne doivent pas nous décontenancer. Il importe à ce stade de mieux comprendre les situations complexes auxquelles nous sommes confrontés et de réfléchir aux solutions possibles. En automne viendra le temps de dresser un bilan et de déterminer les contours et l'équilibre des résultats potentiels de la conférence de Buenos Aires.

2.31. La 11ème conférence ministérielle de l'OMC donnera l'occasion à la communauté internationale d'apporter des réponses aux défis posés par les mutations de l'économie mondiale. La digitalisation de l'économie, les interactions entre le commerce et l'investissement et les

difficultés des PMEs à s'intégrer dans l'économie mondiale sont des aspects que nous ne pouvons pas ignorer. Dans une logique de cohérence des politiques globales, les subventions à la pêche se présentent comme un sujet pertinent et prometteur.

2.32. Évidemment, nous ne négligeons pas les sujets qui sont de longue date à l'ordre du jour des négociations de l'OMC. Nous sommes conscients que le soutien interne à l'agriculture est un enjeu


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important pour de nombreux Membres. La Suisse est prête à apporter sa contribution à condition toutefois que l'effort qu'elle ferait soit proportionnel à celui de l'ensemble des Membres. Nous sommes aussi intéressés à faire progresser les négociations sur les services, notamment sur la réglementation interne. En outre, des progrès à plus long terme dans d'autres domaines couverts par le mandat de Doha, tels que l'accès au marché (NAMA) et la propriété intellectuelle, restent importants pour la Suisse.

2.33. Un succès à Buenos Aires dépend des efforts de tous et relève de la responsabilité de chacun. La Suisse a prouvé à maintes reprises sa résolution à favoriser le consensus. La prochaine conférence ministérielle ne fera pas exception. Nous continuerons à œuvrer en faveur d'un système commercial multilatéral fort, intégrateur et basé sur des règles. Nos contributions s'inscriront dans la logique de notre politique commerciale qui vise à accroître la compétitivité de nos entreprises et à réduire nos principales faiblesses, notamment une croissance insuffisante de

la productivité.

2.34. En conclusion, Monsieur le Président, je souhaite, avec mon collègue du Liechtenstein, contribuer à un dialogue franc et ouvert sur l'examen des politiques commerciales de nos deux pays. Cette franchise et cette ouverture sont nécessaires pour aborder des questions complexes auxquelles nous devons apporter des réponses communes dans l'intérêt du système multilatéral.

2.35. Je passe maintenant la parole à Monsieur l'Ambassadeur Peter Matt qui abordera les aspects propres au Liechtenstein. Je vous remercie de votre attention.

H.E. AMBASSADOR PETER MATT (LIECHTENSTEIN)

2.36. Let me start by thanking you, Chairman Ambassador Gonzalez and State Secretary Ineichen-Fleisch, for your statements and introductions. We are very pleased to participate in this fifth joint trade policy review together with Switzerland. I would like to use this opportunity to thank our Swiss colleagues for their valuable support and excellent cooperation throughout the

whole TPR process.

2.37. My thanks also go to His Excellency, Ambassador David Walker from New Zealand, who

accepted to act as discussant for this joint review.

2.38. Last but certainly not least I would like to thank the WTO Secretariat for the good cooperation, it was a pleasure to work with the responsible team, and for the excellent report it has produced. It has succeeded in describing the particularities of Liechtenstein – which are quite a few indeed - in a concise and comprehensive manner.

2.39. In principle, I would not have much to add to the Secretariat's report, complemented by our

policy statement. Nevertheless, let me highlight or add some information and remarks to these reports and to what State Secretary Ineichen-Fleisch just said.

Liechtenstein: a small but economically successful country

2.40. Liechtenstein is – with a surface of about 2/3 of the Canton of Geneva and a resident population of about 38,000 - a very small country. Nevertheless, it has a highly developed, remarkably diversified economy. The number of jobs equals almost the number of inhabitants and more than half of the workforce commutes daily from the neighbouring regions to Liechtenstein.

Altogether, close to 70 % of all jobs are held by non-Liechtenstein nationals.

A highly developed and competitive industrial sector

2.41. The fact that Liechtenstein is a highly industrialized country and home of several world leaders in their respective fields of activity is often little known. The high proportion of the manufacturing sector is striking: It contributes about 41% to GDP and employs as well over 40% of the total workforce. Investments by the Liechtenstein industrial companies – by the private sector - in research and development represents in percentage of GDP certainly one of the highest

figures worldwide. Businesses and products, focused on high-tech niche products, are broadly diversified, as are the export markets. About 1/3 of the production is exported to markets outside Europe. An interesting feature is also that Liechtenstein's industrial companies have - as an overall


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average - 3 to 4 times more employees on their payroll abroad than at home. Let me just mention one example, for instance Hilti, the world leader of fastening systems for the building industry, as many others in Liechtenstein, a 100% family owned company, employs 1,500 people in Liechtenstein, but over 20,000 worldwide.

2.42. Another important sector for Liechtenstein's economy is the financial services sector, mainly banking and insurance services, which represents a considerable 25% of GDP. The services sector

as a whole is however smaller than in other European countries. Striking is also the comparatively low share of agriculture and forestry.

Liechtenstein highly dependent on international trade

2.43. Liechtenstein is highly, almost entirely, dependent on imports and exports due to the very small domestic market. In order to secure favourable framework conditions for international trade,

Liechtenstein therefore seeks strong international cooperation and partnerships and is, not

surprisingly, a strong supporter of the multilateral trading system.

2.44. Four pillars form the legal basis of Liechtenstein's Foreign Economic Policy, namely:

the Customs Union Treaty with Switzerland since 1923;

the membership in the agreement on the European Economic Area (EEA) which provides full participation in the EU's internal market;

membership of the World Trade Organization (WTO); and

Membership of the European Free Trade Association (EFTA).

2.45. Let me in the following briefly touch upon the Customs Union Treaty and the EEA membership in particular.

The Customs Union with Switzerland

2.46. In application of the 1923 Customs Union Treaty, Liechtenstein became an integral part of the Swiss customs territory. Therefore, as far as trade in goods, including agricultural goods is concerned, trade policy measures affecting imports and exports, including TBT and SPS measures are formulated by Switzerland and also applied in Liechtenstein. All these matters are also

negotiated by Switzerland on behalf of Liechtenstein in this Organization as well as in EFTA or outside EFTA as well. In the same way, as far as trade in goods is concerned, commercial treaties and trade agreements concluded by Switzerland also apply to Liechtenstein.

2.47. However, Liechtenstein has its own regulatory framework in trade in services, government procurement, investment, and in all areas of intellectual property rights except patents. In these

areas, our bilateral relationship with Switzerland is governed by the EFTA Convention.

Liechtenstein: a member of the European Economic Area

2.48. The EEA Agreement is the legal basis for the economic cooperation of Liechtenstein with currently 30 other member States of the European Economic Area. As generally known in this House, the EEA is based on the principle of the four freedoms (free movement of goods, services, capital and persons) with uniform and common rules governing competition, including State aid. In addition, the EEA agreement covers cooperation in other important areas, known as flanking and horizontal policies, as well as participation in numerous EU programmes and EU agencies.

2.49. Liechtenstein is part of the EU's Internal Market – a market of 500 million people - and therefore all relevant EU legislation is applicable in Liechtenstein. Accordingly, for example banking, insurance, securities and accounting legislation is based on the relevant EU regulations and directives. By now, the impressive number of more than 8,700 EU acts has been taken over

into national law. The EEA Agreement is dynamic, i.e. it provides for the on-going inclusion of new EU legislation in all policy areas covered by the EU's Internal Market. As a consequence of this agreement, a large part of Liechtenstein's own economic legislation is based on or inspired by the


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EU law. Proper implementation of the Internal Market legislation is ensured through the two-pillar structure of the EEA, i.e. the monitoring by the EFTA Surveillance Authority and the judicial functions of the EFTA Court.

Liechtenstein part of two internal markets

2.50. This context is also noteworthy and a special feature of Liechtenstein to be part of two internal markets, the Swiss and the European one. Both, the Customs Union with Switzerland and

the participation in the EEA Agreement are success stories for Liechtenstein. Therefore, goods produced either in conformity with Swiss or EEA regulations may be sold in Liechtenstein. The good functioning of this arrangement is assured with a specific Market Control and Surveillance Mechanism.

Membership of WTO and EFTA

2.51. Liechtenstein's membership to WTO and EFTA are the other two very important pillars of its

foreign trade policy. Liechtenstein as a small and open economy attaches great importance to a strong and rules based multilateral trading system. We are committed to contribute to a successful conclusion of MC11 in Buenos Aires and to the strengthening of the multilateral trading system in general.

2.52. Liechtenstein's Membership to WTO is complemented by its membership to EFTA. Liechtenstein has negotiated in the framework of the EFTA 27 free trade agreements with 38 countries. The network of FTAs within EFTA is a central cornerstone of Liechtenstein's foreign

trade policy.

Major changes to the trade regime since the last TPR in 2008

2.53. The longstanding liberal economic policy of the Liechtenstein Government has been and

remains based on the principle of self-dependent economic actors, which means State interventions are limited to the establishment of framework conditions favourable to entrepreneurship.

2.54. There have been no major changes to the trade regimes as such, but a number of

adaptations in particular in reaction to the changing international environment and regulatory framework concerning the financial services sector.

2.55. In accordance with the "Liechtenstein Declaration" of 12 March 2009, Liechtenstein is, inter alia, actively participating in the work of the Global Forum on Transparency and Exchange of Information for Tax Purposes and has been assigned a rating of "Largely Compliant" in the second phase of the Peer Review. Until now, Liechtenstein has negotiated and concluded 17 Double

Taxation Agreements according to the OECD Standard, concluded 27 Tax Information Exchange Agreements (TIEA), ratified the Multilateral Convention on Administrative Assistance in Tax

Matters in August 2016 and signed the Multilateral Competent Authority Agreement on Automatic Exchange of Financial Account Information ("MCAA") in 2014. As an early adopter to implement the global standard on automatic exchange of information, Liechtenstein has concluded an Agreement to Automatic Exchange of Information in Tax Matters (AEOI) with the EU. This agreement entered into force on 1 January 2016. As of 1 January 2017, Liechtenstein's AEOI

network comprises a total of 60 exchange partners. A further extension is planned with effect from 1 January 2018 for exchanges in 2019. Liechtenstein has also joined the Inclusive Framework of the OECD to implement BEPS measures.

Fiscal consolidation

2.56. After structural problems were foreshadowed in the fiscal programming for 2010-2014 due to, amongst other factors, the economic and financial crisis, the general demographic development, and structural changes in the financial sector, fiscal consolidation was made one of

the priorities of the Liechtenstein Government during the reporting period. On the basis of three

fiscal stabilization packages, state budget consolidation measures were successfully implemented leading to savings of about SwF 162 million and an increase of revenues of SwF 59 million. And there you have to bear in mind that the overall budget is around SwF 800 million. In 2014, 2015


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and recently again in 2016, the state budget posted a surplus. Liechtenstein focuses now on securing a balanced state budget. The sound budgetary position of Liechtenstein was one decisive factor for the recent confirmation of its triple-A rating from Standard and Poor's.

2.57. Finally, compared to the last Trade Policy Review of Switzerland and Liechtenstein, the portion of non-Liechtenstein citizens of the resident and working population has slightly increased. Therefore, the Government does not see any leeway to ease restrictions concerning immigration

and employment as also the special rules concerning the freedom of movement of persons, granted to Liechtenstein in the EEA, remain unchanged. Furthermore, in view of Liechtenstein's geographic situation and in order to respect its rural character and preserve access to real estate for the resident population, the Government regulates investment into real estate (this applies also for non-resident Liechtenstein citizens).

2.58. To conclude, let me re-iterate our strong commitment to the Trade Policy Review

Mechanism. It is an important opportunity to have an open dialogue and conversation about the trade policy of our two countries and to address complex issues we have to find a common answer to. I am looking to a fruitful exchange of views. I thank you for your attention.


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3 STATEMENT BY THE DISCUSSANT

3.1. I would like to join you Chair in welcoming the delegations of Switzerland and Liechtenstein headed by State Secretary Marie-Gabrielle Ineichen-Fleisch and Ambassador Matt, respectively, to the fifth joint Trade Policy Review of both Members (which I understand is also the seventh review in terms of Switzerland). I am honoured to be the Discussant for this Review.

3.2. Switzerland and Liechtenstein, by their own reports, are strong supporters of the rules-based

multilateral trading system as embodied in the WTO. Indeed, sitting here today in Geneva, we are all witness to one very clear demonstration of Switzerland's commitment to the WTO.

3.3. The reasons for the emphasis that both Switzerland and Liechtenstein place on the multilateral trading system are many – but can probably be summed up as a display of the principle of "enlightened self-interest".

3.4. The Swiss report contains a pithy explanation of why trade is key for the prosperity of the

Swiss people. The exactly same reasons apply for Liechtenstein.

3.5. Switzerland has few resources so needs to import many of the things its people rely on for a modern existence.

3.6. To finance those imports, Switzerland needs to export.

3.7. Beyond that, export markets allow Swiss firms to grow beyond the size that could be sustained by its domestic market alone and thus take advantage of the opportunities for growth, jobs and prosperity that can be generated from the associated economies of scale. And Swiss

consumers, through imports, gain advantage of similar economies of scale generated elsewhere.

3.8. If that sounds familiar, it should, as I suspect most WTO Members could supplement their own name and ascribe to that statement.

3.9. Switzerland and Liechtenstein are highly integrated in trade and economic policy terms with a long-standing (90 years) Customs Union and a common currency, so it is appropriate that this review is conducted jointly.

3.10. The period under review was a challenging one for both economies, marked by significant

monetary policy developments as Switzerland sought to limit the appreciation of the Swiss Franc.

3.11. In the face of these headwinds, however, their trade policy regimes have remained broadly stable with some specific initiatives to look to use trade-opening to mitigate price pressure in the economy.

3.12. In terms of Switzerland and Liechtenstein's participation in the WTO, there have been

several developments during the period under review.

3.13. Switzerland and Liechtenstein were early to come on board the Trade Facilitation Agreement being respectively 14th and 17th to formally approve the Agreement in September 2015.

3.14. Both Switzerland and Liechtenstein are members of the Government Procurement Agreement. Liechtenstein, in 2013, was the first WTO Member to ratify the revised GPA. Switzerland has yet to take that step pending approval of relevant legislation by the Federal and Cantonal levels. Several questions have been asked on the expected timeline for completion of this process.

3.15. Switzerland is among those WTO Members who maintain agriculture export subsidies to be phased-out in accordance with the Ministerial Decision in Nairobi. Switzerland advises that it expects to submit proposals to Parliament accordingly in the course of this year. Again, Members have expressed interest in understanding more about the nature and timing of this process.

3.16. Also from MC10 at Nairobi, Switzerland and Liechtenstein are both participants in ITA II with associated tariff outcomes to be applied this year.


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3.17. Switzerland and Liechtenstein have continued to be active in efforts to advance international trade policy settings, both through multilateral negotiations at the WTO and through related initiatives such as the Trade in Services Agreement (TiSA) process.

3.18. Switzerland, in its report, places a lot of emphasize on advancing coherence between trade and sustainable development including through negotiations at the WTO for disciplines on fisheries subsidies and an Environmental Goods Agreement (EGA), and its active engagement in the Friends

of Fossil Fuel Subsidies Reform process through G20 and APEC.

3.19. In terms of policy settings, Switzerland and Liechtenstein operate generally open trade regimes with the exception of agriculture and some services sectors. In goods, as at 2016, average applied MFN tariffs on agriculture (30.8%) are more than 13 times the average for non-agricultural products (2.3%).

3.20. The structure of the tariff is also unusual in its reliance on specific tariffs. The system is

relatively simple to administer - based on a fixed levy per kilogram of gross weight – but can have regressive price effects for consumers on lower value items. As tables 3.2 (p. 46) and A4.2 (p. 176) of the Secretariat report illustrate, such a tariff structure can also have other unanticipated effects, when expressed in AVE terms.

3.21. A number of Members have questioned what scope Switzerland and Liechtenstein see for further reductions in agriculture tariffs and/or changes in the tariff structure, including in respect of the tariff-rate quota regime which can be highly complex in its operation.

3.22. In this context, it is interesting to note that as a result of their participation in various preferential arrangements – both with the European Union and through FTAs with various other trading partners – MFN tariffs now encompass a relatively small (less than 20%) share of Switzerland and Liechtenstein's external trade.

3.23. One policy development during the period under review, which has attracted questions from a number of Members, is the so-called "Swissness" legislation including its provisions on geographical trademarks.

3.24. As in the last review, the Secretariat report again notes that Switzerland (and Liechtenstein) stand out as "high priced islands" in the European context – with prices in Switzerland on average 45% higher than those in the European Union (25% for goods and 60% for services). Yet, the economies remain successful – Switzerland has been rated first in the Global Competitiveness Index and the Global Innovation Index for the years 2013-2016 which is an impressive achievement.

3.25. I suspect there are particular factors underpinning the circumstances of both economies that allow this situation to persist. At the same time though, neither economy is resting on its laurels.

3.26. In the context of this Trade Policy Review, it is perhaps particularly interesting to ponder the Growth Agenda 2016-2019 adopted by the Swiss Government in June 2016. This agenda envisages the introduction of a range of measures designed to facilitate the role of imports in increasing competition in the domestic market.

3.27. With a number of questions from Members again highlighting relatively longstanding areas of concern amidst a generally commendably open trade and investment regime – whether that be in the areas of tariffs, tariff-rate quotas, technical barriers to trade, services regulation, intellectual property, or competition policy - it will be interesting to consider how the answers from Switzerland and Liechtenstein indicate those concerns might be addressed through measures adopted pursuant to this latest Growth Agenda and, at the next Review, to reflect on the extent to which they have been.

3.28. Personally, I have found preparing for this Review a most interesting exercise. I have learnt

a lot about both Switzerland and Liechtenstein. And to those who haven't studied as close as I may have, I commend the Secretariat report, it really does contain enormous amount of breaths and


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depths on both economies. I have also resolved that I must visit Liechtenstein to learn even more. Meanwhile though, I wish Switzerland and Liechtenstein a successful Trade Policy Review.


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4 STATEMENTS BY MEMBERS

UNITED STATES

4.1. The United States enjoys a close friendship and partnership with Switzerland and Liechtenstein across a range of issues based on shared values and principles, including a robust trade and investment relationship. Two-way goods trade between the United States and Switzerland totalled almost US$60 billion in 2016, and two-way services trade between the United

States and Switzerland totalled more than US$52 billion in 2015. The U.S. stock of foreign direct investment in Switzerland was more than US$150 billion in 2015. Swiss FDI in the United States was more than US$250 billion in 2015. With regard to Liechtenstein, total two-way goods trade between the United States and Liechtenstein was more than US$300 million in 2016. The U.S. stock of foreign direct investment in Liechtenstein was US$300 million in 2015.

4.2. As we have seen in previous reviews, the economies of Switzerland and Liechtenstein are

among the world's most advanced and prosperous, and both are characterized by high living standards and a highly skilled labour force. Their trade regimes are among the most liberal in the WTO. However, as we have also seen in previous reviews, the agricultural sector remains highly protected from global competition despite its limited contribution to GDP and employment.

4.3. Many of the questions we pose today reflect our desire to see Switzerland and Liechtenstein take steps to promote market-oriented support for agriculture. We would note that as a result of various tariff and non-tariff measures, Switzerland enjoys a greater than 3 to 1 trade surplus in

agricultural products with the United States.

4.4. In particular, the report from the Secretariat states that the allocation of some tariff quotas in Switzerland is a "discriminatory system whereby the allocation of the tariff quota is contingent upon local purchase". This is particularly true for the tariff quota for beef, sheep meat, and offal, where 50% of the quota is allocated based on the contribution to Swiss production. This provision

is disadvantageous to companies that principally source product through imports.

4.5. The lack of competition for agricultural products is further reflected in the approach of

Switzerland and Liechtenstein, along with the approaches of their EFTA partners, to the negotiation of free trade agreements, which eliminate tariffs on markedly fewer agricultural tariff lines than non-agricultural tariff lines. We continue to encourage Switzerland and Liechtenstein to increase the market orientation of their agricultural production and trade policies.

4.6. Switzerland has also noted "the need to adequately take into account non-trade concerns" in negotiations related to agriculture. We look forward to learning what non-trade concerns

Switzerland intends to address in the WTO. Similarly, we look forward to more information on the recent "Swissness" legislation that came into force on 1 January 2017. That new law appears to create new requirements regarding the identification of country of origin for food and industrial products and also appears to impact requirements regarding labelling of foods. We would like to know when Switzerland intends to notify the measure to the WTO.

4.7. We also have questions about the implementation of the "Precautionary Principle," and the implications of Switzerland and Liechtenstein harmonizing their SPS and TBT standards with those

of the EU. We have several questions regarding Switzerland's scientific and risk basis for food safety measures, including pesticide and veterinary drug standards, food additives, and the moratorium on approvals for the cultivation of biotechnology crops, which was recently extended until 2021. We would appreciate an explanation of the science behind the moratorium.

4.8. In addition to our agricultural concerns, the United States remains particularly concerned about the ability of copyright owners to protect their copyrighted works in the digital environment. We look forward to updates on the status of draft Swiss legislation expected to address this issue,

including the timeline for implementation, as well as mechanisms under current Swiss law that could also provide protection. We also look forward to hearing from Liechtenstein about the status of its proposed copyright law amendments.


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4.9. We thank both Governments in advance for their efforts to respond to our questions, and we plan to review the responses carefully and request clarifications as necessary during the course of this TPR.

4.10. We wish both Governments a successful review and thank the delegations for their attention to our questions.

CHINA

4.11. We commend Switzerland and Liechtenstein for their sound and resilient economic performance over the period under review despite of the difficult circumstances. We welcome the continued efforts by the Swiss Government in opening up its economy and appreciate the strong support of a rule-based multilateral trading system from Switzerland and Liechtenstein. This is particularly most needed against the current backdrop of uncertainties and growing protectionism

around the world. And we are encouraged by the efforts of the two countries in the banking

service area in order to combat cross-border tax evasion.

4.12. China and Switzerland enjoy close bilateral trade relations with Switzerland being our sixth largest trading partner in Europe and China being the fifth largest trading partner of Switzerland. Bilateral trade between China and Switzerland has increased to a historical amount of more than US$20 billion in 2016. Our statistics show that during the first quarter of 2017, trade between China and Switzerland has increased by 4% compared with that in the same period last year. President XI Jingpin's official visit to Switzerland in January 2017 has greatly strengthened the

close relationship between our two countries. And we are willing to work with the Swiss Government to upgrade the Free Trade Agreement between China and Switzerland. As Switzerland is the sixth largest source of investment to China in Europe, and is among the top destinations for China's outward investment, we believe there is still great potential for further growth in the investment between China and Switzerland. We hope this TPR could offer another good opportunity to help Chinese enterprises better understand Switzerland's investment regime.

4.13. Although the volume of trade and investment between China and Liechtenstein is small,

both the trade and outward investment from China to Liechtenstein have seen rapid growth recently. We are looking forward to further growth in those areas.

4.14. It is true that most economic sectors in Switzerland are open to investment, including investment by foreigners; however, there are still restrictions in certain areas under state monopoly. We would appreciate it if the Swiss government could provide further information on such restrictions, which will help facilitate investment by Chinese enterprises in Switzerland.

4.15. During the review period, the Swiss Government has continued to take measures to reduce technical barriers to trade and promote market competition. We are expecting to get more information on the specifics steps that have been taken to encourage further growth of trade.

4.16. In addition to the first patch of questions, we would like to submit some follow-up questions relating to the issues above after this meeting, and we are expecting the Switzerland and Liechtenstein to provide replies to us soon.

4.17. Last but not the least, I would wish this TPR a complete success.

UKRAINE

4.18. Our countries have enjoyed close bilateral trade, economic and technical cooperation. Switzerland is the 5th largest bilateral donor and the 9th biggest investor in Ukraine. Since 2012, Ukraine and countries of the European Free Trade Area (EFTA), including Switzerland and Liechtenstein, are benefiting from a Free Trade Agreement. It has comprehensive coverage, including trade in goods (industrial and processed agricultural goods, fish and other marine products), trade in services, investment, protection of intellectual property rights, government

procurement and provisions on competition.

4.19. Trade turnover between Ukraine and Switzerland was valued at US$1,96 billion in 2016, between Ukraine and Liechtenstein – at US$2,7 million. Among Swiss and Lichtenstein's leading


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exports to Ukraine are pharmaceutical products, mechanical appliances, mineral fuel, boilers, electrical machinery, and chemicals. The main import items from Ukraine are precious stones and metals, woven apparel and clothing accessories, timber, machinery, nuclear reactors, paper, grain crops. Switzerland is the second biggest importer of Ukrainian services, consisting mainly of transport, raw materials processing and information technology.

4.20. Ukraine highly appreciates the partnership cooperation with Switzerland and Liechtenstein

across the bodies of World Trade Organization on different issues. Being strongly committed to the rule-based multilateral trading system, Ukraine notes the efforts of Switzerland and Liechtenstein and their contribution to further development of the system and liberalization of trade in goods and services.

4.21. In particular we would like to underline our appreciation to the principal approach of Switzerland and Liechtenstein to their import regime measures covering some import prohibitions

and restrictions of goods not accompanied by a certificate of origin issued by the Ukrainian authorities, compliant with the relevant international decisions and commitments on the issue.

4.22. Within this TPR exercise Ukraine has submitted a number of specific questions and is seeking clarification on a range of the following topics: Government's Growth Agenda; preferential tax provisions; export subsidies for agricultural products; implementation of the Protocol Amending the TRIPS Agreement; export restrictions on dual-used goods etc.

4.23. We would like to express gratitude for the responses, which we are reviewing thoroughly.

4.24. In conclusion, I would like to express our deep appreciation to the delegation of Switzerland and Liechtenstein and especially to the teams of the Missions of both countries to the WTO in Geneva for their hard work in preparing for this TPR and for cooperation on the range of WTO issues.

4.25. We wish the Switzerland and Liechtenstein a successful and fruitful trade policy review and look forward to continue further strengthening our bilateral relations.

REPUBLIC OF MOLDOVA

4.26. The Republic of Moldova acknowledges Switzerland and Liechtenstein as strong supporters of the WTO advocating for further liberalization of world trade, actively participating in the Doha Development Agenda (DDA) and engaging in initiatives aimed at strengthening the rules-based multilateral trading system. We would also like to seize this opportunity to congratulate Switzerland and Liechtenstein, for the establishment of their respective national trade facilitation committees and compliance with Section 1 of the TFA Agreement. We also commend the

ratification of the revised plurilateral Agreement on Government Procurement by Liechtenstein in 2013 and are looking forward to the finalization of the ratification process by Switzerland, in parallel with ongoing reforms at the federal and cantonal levels.

4.27. As a high-income country with a diversified economy and good governance, Switzerland has shown strong resilience in the challenging monetary context that has marked the period since its last trade policy review. We would like to underline that the main economic and financial developments under the period of review was marked by the smart monetary policy and a strong

appreciation of the Swiss franc. While this appreciation has impacted considerably GDP growth and traditional export industries, modest quarterly GDP growth has been registered for 2016-beginning of 2017. Positive trends have also been registered in Liechtenstein, despite its share of the same monetary challenges.

4.28. A strong currency and low interest rates lead to an increase in private consumption, while leaving behind economic challenges on the external level related to the competitiveness of the Swiss industries, weak productivity growth and decline in capital intensity of the economy.

4.29. In this context, we believe that the New Growth Policy 2016-2019 will manage to further

open the economy to imports and reduce parallel barriers such as high input costs and output prices.


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4.30. We welcome the active expansion by Switzerland and Liechtenstein, in the framework of EFTA, of the network of regional trade agreements. Currently, the EFTA FTAs in force comprise a large network of 25 agreements with 35 partners outside the EU. Since 2013, several new FTAs entered into force with countries in Central America (Panama and Costa Rica), Bosnia and Herzegovina, and the Gulf Cooperation Council. Agreements with the Philippines and Georgia are pending to be entered into force.

4.31. The Republic of Moldova has also expressed its interest for a FTA with EFTA countries. In this respect, I am pleased to note the openness of EFTA Governments to initiate consultations on this important endeavour. Moldova and EFTA Secretariat has reached a decision to start this process by signing a Joint Declaration on Cooperation as a first step towards the initiation negotiations of Free Trade Agreement. We hope that the Joint Declaration between Moldova and EFTA will address several important trade-related topics, including customs and origin matters,

technical barriers to trade, intellectual property rights, trade in services, public procurement,

competition, and information on foreign trade.

4.32. Regarding the agricultural sector, we encourage Swiss and Liechtenstein Governments to further implement the commitments undertaken under paragraph 31 of the Nairobi Ministerial Declaration regarding the elimination of all of the export subsidies and domestic support granted to the agricultural sector.

4.33. The agriculture sector is sheltered from import competition through relatively high tariffs on

sensitive agricultural products and direct payments.

4.34. We note a paradigm shift to the Swiss approach on food safety – moving from the positive principle to the precautionary principle and thus eliminating an unnecessary barrier to trade.

4.35. Moldova welcomes the strengthening of the IP system and Switzerland's status of one of the most innovative OECD economies with a vibrant technology industry. In this context, we

congratulate Switzerland on ranking first in the Global Competitiveness Index and Global Innovation Index in the years 2013-2016.

4.36. On some of the points raised above, the Government of the Republic of Moldova has addressed several questions to Switzerland and Liechtenstein, mainly regarding:

the compatibility of its stock requirements with the WTO rules;

processing under customs control system;

rules of origin included in its FTAs with trading partners;

specific duties; and

public procurement procedures related to the financing of hospitals.

4.37. We thank Switzerland and Liechtenstein for the comprehensive replies provided to our questions in due time.

4.38. Regarding bilateral trade and economic relations between Moldova and Switzerland, we believe that the current legal framework can be further expanded, which already includes the basic agreements, such as the Agreement on protection and mutual promotion of investment, the Agreement on trade and economic cooperation, as well as the Agreement on humanitarian

assistance and technical cooperation. Moldova is interested to initiate negotiations on the air transportation agreement, which will have a positive economic impact mutually beneficial, especially in the course of this year marking the 25th anniversary of Moldova's bilateral diplomatic relations with Switzerland.

4.39. The Swiss Agency for Development and Cooperation and the Liechtenstein Development

Service are among Moldova's main development partners working closely with local authorities through technical assistance programmes and projects in the fields of health, water and sanitation,

education and migration. Also, on the investment side, there are currently 94 Swiss enterprises


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active in Moldova and we are pleased to see an increasing trend of Swiss direct investments in Moldova.

4.40. We also note a positive dynamic in the volume of bilateral trade. In 2016, exports of Moldovan products to the Swiss Confederation and Liechtenstein increased by 26% and 20%, respectively. Moldova mainly exports agricultural products, while imports comprise pharmaceutical and electrical products and hopes to see further expansion of exports of Moldovan wine and

organic products to the market in Switzerland and Liechtenstein.

4.41. We are committed to work closely in the near future towards concrete further development of our mutually beneficial trade and economic relations through all available means: bilateral, regional and multilateral.

4.42. The Republic of Moldova is confident that the 5th exercise of the joint trade policy review

will help Switzerland and Liechtenstein to achieve their economic objectives and fully honour their

international commitments.

4.43. We look forward to continue further strengthening our bilateral relations with Switzerland and Liechtenstein and, on behalf of the Republic of Moldova, I wish to the Swiss and Liechtenstein delegations the utmost success during their fifth joint WTO Trade Policy Review.

AUSTRALIA

4.44. Australia has a constructive working relationship with Switzerland in the WTO as well as in the G20, OECD, Asia-Europe Meeting (ASEM), and the Asian Infrastructure Investment Bank.

4.45. Australia's trade and investment relationship with Switzerland is strengthening and growing, especially in the areas of scientific research and development, education and two-way investment. In 2016, Switzerland was our 10th largest source of foreign investment at $59.1 billion, of which

FDI was worth almost $9.5 billion. In 2016, total Australian investment in Switzerland was worth $20.4 billion. Total two-way goods and services trade with Switzerland was worth $5.8 billion in 2015-16. Opportunities exist to further increase engagement in sectors including: infrastructure, food and agribusiness, renewable energy, financial technology, medical technology and

pharmaceuticals.

4.46. We are pleased that Australia and Switzerland have exchanged letters to commence an automatic exchange of tax information from 2018, based on the OECD's common reporting standard. These exchanges will contribute to the tax integrity of both countries.

4.47. While acknowledging efforts aimed at reform of its agricultural sector under the Swiss Government's Growth Agenda, we remained concerned about the high level of tariffs and non-tariff

measures in place and strongly encourage ongoing trade-liberalizing measures in this area.

4.48. While our bilateral trade and investment relationship with Liechtenstein is small, we appreciate Liechtenstein's commercial interests in Australia and welcome the opportunity to further our trade and investment ties. We welcome Liechtenstein's ratification of the OECD Convention on Mutual Administrative Assistance in Tax Matters and participation in the Common Reporting Standard.

4.49. For both Switzerland and Liechtenstein, Australia strongly encourages continuing

liberalization efforts, particularly in investment and agriculture, and looks forward to working with these Members in future to continue to grow our trade and investment relations.

MÉXICO

4.50. Es un honor para la delegación mexicana participar en el quinto examen de las políticas comerciales de Suiza y Liechtenstein. A sólo unos meses de mi llegada a Suiza como Embajador de México he podido constatar las fortalezas de la economía suiza, sus políticas macroeconómicas

acertadas, un sistema de gobernanza efectivo y así como el estado de bienestar de sus

ciudadanos, pero he observado también algunos desafíos que enfrentan de cara al futuro, a los


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cuales me referiré más adelante y que se encuentran incluidos en los informes que la Secretaría de la OMC nos ha preparado.

4.51. Sin duda Suiza y Liechtenstein siguen siendo dos países prósperos, que gozan de estabilidad económica y buena gobernanza. Ambas economías han mostrado gran capacidad para resistir los embates causados por la inestabilidad de la zona euro y la apreciación del franco suizo.

4.52. Una buena gestión y el uso políticas prudentes en materia fiscal y monetaria, un incremento

de su demanda interna y crecimiento demográfico positivo debido a la inmigración, han logrado que la economía suiza creciera a una tasa moderada de 1,5% entre 2013-2015 y registrara una tasa de desempleo baja que ha oscilado entre el 4,0% y 4,5% en el mismo periodo.

4.53. Reconocemos también los esfuerzos que Suiza ha realizado para impulsar su competitividad que la llevó a posicionarse en el primer lugar del Índice de Competitividad Global 2016-2017

elaborado por el Foro Económico Mundial. Suiza sigue siendo un país atractivo para la inversión

extranjera y también es inversionista importante en otros países como el mío. Su régimen de inversiones es muy abierto aunque aún mantiene algunas restricciones a la IED en algunos sectores estratégicos.

4.54. El comercio exterior de bienes y servicios seguirá siendo un motor importante para el crecimiento de economía de Suiza y Liechtenstein. México reconoce los esfuerzos de Suiza por diversificar su comercio, a pesar de su condición geográfica y su vínculo natural con la Unión Europea, socio que recibe aproximadamente el 54% de sus exportaciones.

4.55. Estos esfuerzos se traducen en la ampliación y profundización de su red de tratados de libre comercio, entre ellos el que tiene con México y que se encuentra en proceso de profundización. Recientemente se llevó a cabo la tercera ronda de negociación para ampliar el acuerdo comercial entre México y la Asociación Europea de Libre Comercio (AELC) en la ciudad de Lugano. Esperamos que estas negociaciones conlleven a un acercamiento y profundización de nuestras

relaciones comerciales (destaco que en los últimos 16 años, el comercio con la AELC ha crecido más de 150%, y las inversiones acumuladas de los países del AELC en México entre 1999 y 2016

acumularon cerca de 10 mil millones de dólares EE.UU). El comercio bilateral con Suiza alcanzó los 3400 mdd. en el 2015.

4.56. A diferencia de su sector manufacturero, la agricultura continúa altamente protegida a pesar que de que su contribución al PIB sea menor al 1%. Los aranceles aplicados a los productos agrícolas siguen siendo muy altos, con un promedio NMF del 30,8%. Algunos productos agrícolas como lácteos, carne, y hortalizas gozan de una protección prohibitiva, con aranceles que superan

el 100% en términos ad valorem. Considerando los datos disponibles en el 2015, Suiza se situó en el sexto lugar de 149 países con el arancel NMF aplicado más alto según la publicación de Perfiles Arancelarios de 2016 de la OMC.

4.57. Además de la alta protección arancelaria, el nivel de apoyos internos es aún muy elevado. A pesar de la Política Agrícola 2014-2017, que incluye medidas para reorganizar y ajustar el sistema

de pagos directos, el nivel de apoyo interno aún permanece muy por encima del promedio otorgado por la UE. El informe destaca que dos terceras partes de los ingresos de los agricultores

suizos proviene de las políticas de ayuda y, en términos relativos, recibieron una ayuda tres veces superior a los agricultores de la UE, además de que sus costos son 90% superiores al mercado mundial.

4.58. Esto provoca que los precios de los productos agrícolas y alimentos en Suiza sean elevados en comparación con el resto del mundo. Esta situación acompañada de un poder adquisitivo elevado y baja sensibilidad de los consumidores suizos a los precios, ha llevado a Suiza a ser considerada una "isla de precios altos" en Europa, situación que puede comprometer su

competitividad y crecimiento futuro.

4.59. Aplaudimos que, a través de una mayor apertura comercial, el Gobierno suizo trate de estimular la competencia para reducir los precios y estimular la productividad.

4.60. Suiza y Liechtenstein tienen un amplio sector de servicios que contribuyen en más del 70% de su PIB. Los servicios financieros contribuyen con el 10% del PIB y más del 5% del empleo total.


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Suiza sigue siendo uno los centros de servicios financieros más importantes del mundo. Nos congratulamos por la adopción del principio de intercambio automático de información para luchar contra la evasión fiscal, la firma de acuerdos bilaterales para este efecto, así como la aplicación de la norma sobre el intercambio de información de la OCDE.

4.61. Para concluir, quisiera reconocer el importante papel de Suiza en esta Organización, no sólo como país de acogida, sino por su fuerte compromiso con el sistema multilateral de comercio,

particularmente su liderazgo en el grupo "amigos del sistema". Instamos a Suiza a que ese liderazgo se traduzca en una mayor contribución al sistema multilateral de comercio, particularmente en la agricultura.

4.62. Agradecemos las respuestas a las preguntas que les planteamos, están siendo revisadas en nuestra capital.

NORWAY

4.63. Norway, Liechtenstein and Switzerland, together with Iceland, enjoy a longstanding partnership as members of the European Free Trade Association. We cooperate closely in developing free trade relations with partners in all parts of the world as the EFTA countries negotiate free trade agreements together.

4.64. Liechtenstein and Norway are also partners in the Agreement on the European Economic Area, which extends the internal market of the European Union to the three EFTA States Iceland, Liechtenstein and Norway.

4.65. The Secretariat's report confirms the strong commitments of Switzerland and Liechtenstein to a rules-based multilateral trading system. This is highly appreciated in a time where globalization and free trade are being challenged and we see a worrying inclination towards introducing trade-restrictive measures.

4.66. As evidenced in the report, Switzerland and Liechtenstein's economies are diversified and open, with low tariffs and few restrictions on trade in goods and services. Most economic sectors are open to foreign investments. This openness should be commended. Openness and

transparency are important tools to facilitate trade, investments and economic development.

4.67. Since the last TPR, both Switzerland and Liechtenstein have been affected by economic problems in the Euro-zone and a strong appreciation of the Swiss franc. Both economies have proven resilient and have continued to grow. The unemployment rates remain low in both countries.

4.68. Switzerland is among the top global destinations for foreign investments and the 6th most

important investment country for the Norges Bank Investment Management (3.7%).

4.69. Tax transparency is of great importance to ensure a level playing field. In order to make the financial sector more transparent, and ensure the long term sustainability of its financial sector, Switzerland has committed to implement the automatic exchange of information in tax matters (AEOI) standard. Joint statements on the introduction of AEOI were signed with Norway and other countries at the beginning of 2016. Norway also appreciates Liechtenstein's active participation in the work for transparency and exchange of tax information.

4.70. We commend Switzerland's leadership as a Friend of the System and appreciate the roles that Switzerland has taken on in chairing and facilitating negotiations. We appreciate our close and fruitful cooperation in the field of trade, climate and environment. Switzerland and Norway have long shared a common interest in the general work on environment in the WTO, in the negotiations on the Environmental Goods Agreement and the important work to reduce harmful fossil fuels subsidies. We also appreciate our cooperation with Switzerland in the negotiations on fisheries subsidies to implement SDG 14.6 in the WTO.

4.71. While the Swiss and Liechtenstein economies for the most part are very open, there are areas that are more restricted. Both Switzerland and Liechtenstein attach importance to non-trade


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concerns in agriculture, which are understood and shared by Norway. We cooperate closely within the G10 and our positions are well known.

4.72. Norway attaches great importance to our close cooperation with Switzerland and Liechtenstein in the WTO and the commitment of both countries to safeguarding the existing architecture of the multilateral trading system as well as contributing to its further development. Together we can contribute to strengthen the global commitment to fight protectionism and

develop the WTO of the future. We look forward to continue conversations and working together to bring issues forward in the WTO, as we move towards Buenos Aires and beyond.

UNION EUROPÉENNE

4.73. Comme le rapport du Secrétariat le souligne, la Suisse et le Liechtenstein sont deux pays remarquables à plusieurs titres:

Les deux pays peuvent se féliciter de leurs performances économiques: dette publique

inférieure à 50% du PIB, inflation très basse voir négative, quasi plein emploi avec des taux de chômage oscillant entre 4 et 4,5%. Ceci est d'autant plus remarquable que les économies des deux pays se situent dans un contexte monétaire difficile, notamment une forte pression d'appréciation sur le franc suisse qui pèse de manière particulièrement lourde sur les secteurs orientés vers l'exportation.

La compétitivité des deux économies se base notamment sur la recherche et le développement (plus de 3% du PIB pour la Suisse et 8% pour le Lichtenstein). La Suisse

continue d'être numéro 1 si l'on considère l'index de l'innovation et est très bien placée en matière de qualité d'environnement pour entreprendre.

Le succès des deux pays tient aussi à leur attachement à une participation la plus grande possible aux flux commerciaux et plus largement aux échanges internationaux. Cette

ouverture au commerce se traduit, entre autres, par leur appui sans faille à cette Organisation, à la fois à son travail quotidien de mise en œuvre des règles et aux négociations qui visent à ajuster les règles aux nouvelles réalités du commerce mondial.

4.74. Mais le rapport du Secrétariat met aussi en relief que les résultats excellents sont à mesurer à l'aune de salaires et prix élevés (prix en moyenne 45% plus élevés que ceux de l'UE) et d'une productivité qui semble stagner. Ce constat a amené les autorités suisses à adopter une stratégie nouvelle de croissance 2016-2019. Cette approche revêt une forte dimension commerciale car - selon le rapport du Secrétariat - elle "vise aussi à faciliter plus amplement les importations, à examiner la réduction des exceptions au principe Cassis de Dijon pour les échanges avec l'UE et en

particulier à revoir le traitement spécifique des échanges agro-alimentaires". L'UE serait très intéressée de savoir où en est la mise en œuvre de cette stratégie 2016-19 à mi-parcours.

4.75. L'UE est le premier partenaire commercial de la Suisse et du Liechtenstein et en matière

d'investissements, un investisseur clé.

4.76. La Suisse est notre troisième partenaire commercial pour les biens (avec environ 140 milliards d'euros exportés en 2016) et notre deuxième partenaire en termes de services (pour une valeur de 116 milliards d'euros en 2015). La Suisse est le deuxième bénéficiaire de nos

investissements directs étrangers après les États-Unis.

4.77. Ceci est dû à la situation géographique des deux pays mais aussi aux liens très étroits basés sur l'Espace économique européen dans le cas du Liechtenstein ou les accords bilatéraux dans le cas de la Suisse, qui l'associe à de vastes parties du marché intérieur de l'UE. Toutefois, il y a encore des marges de progrès y compris en matière de politique commerciale.

4.78. S'agissant de l'accord OMC sur les achats publics, nous espérons vivement que la Suisse sera en mesure de ratifier le nouvel accord prochainement et que certaines questions comme la

transparence en matière d'adjudication seront couvertes par les lois confédérales et locales. Nous

avons émis des questions écrites qui visent à clarifier certaines mesures prises par les cantons au regard de leur compatibilité avec l'Accord sur les marchés publics.


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4.79. Par ailleurs, certaines politiques ont été régulièrement évoquées dans les examens de politique commerciale précédents et restent toujours sujet de préoccupation, par exemple:

la haute protection tarifaire en matière agricole;

les tarifs douaniers spécifiques qui manquent de transparence et pénalisent notamment dans certains cas les pays en développement bénéficiaires du système de préférence généralisée;

les quotas tarifaires opaques;

la difficulté d'accès à la prestation de services, y inclus en liaison avec la mobilité des personnes notamment en tant que transfrontaliers;

l'absence d'ouverture à la concurrence de certains secteurs comme les télécoms; et

les mesures prises visant à protéger les produits nationaux que ce soit par des législations en matière d'achat public (tels que une récente loi cantonale) ou la fameuse loi "Swissness" qui définit les critères permettant à un produit d'obtenir un label ou la marque suisse.

4.80. Comme je l'ai déjà dit, la Suisse est un pilier de cette Organisation. La Suisse fonde sa politique internationale sur l'appui à l'élaboration des règles de droit qui renforcent la prévisibilité de l'environnement économique et politique, essentiel pour sa prospérité comme pour la nôtre d'ailleurs. C'est pourquoi nous comptons sur elle et sur le Liechtenstein pour contribuer activement à la réussite de la prochaine Ministérielle en Argentine.

4.81. Pour conclure, je voudrais souligner que nous aurions aimé que la Suisse et le Liechtenstein optent pour le schéma dit "alternatif" qui nous aurait permis de recevoir les réponses à nos

questions écrites quelques jours avant la réunion.

4.82. Nous avons exercé une grande modération en limitant nos questions à environ 40. Du fait de l'intégration très étroite entre les deux économies, de leur union douanière et de leur monnaie unique, nous avons posé nos questions principalement à la Suisse mais elles couvrent les deux pays.

4.83. Je souhaiterais terminer en adressant tous mes vœux aux délégations de la Suisse et du Liechtenstein pour la réussite de ces deux jours de discussion.

KINGDOM OF SAUDI ARABIA

4.84. Known by their open and diversified economies, Switzerland and Liechtenstein have shown resilience against the challenges revolved around the economic crisis in the euro zone and the strong Swiss franc. Switzerland's real GDP grew at an average annual rate of 1.5% in 2013-2015. The Suisse government has yielded macroeconomic stability and underpinned growth by

establishing an open and business-friendly environment and a healthy financial system.

4.85. Despite its small size and lack of natural resources, Liechtenstein has developed into a prosperous, highly industrialized economy, based on high-tech and export-oriented manufacturing with a vital financial service sector. Liechtenstein remains among the highest per capita income in the world.

4.86. The Kingdom of Saudi Arabia commends both governments for their ambitious reforms and for their active engagement to reinforce their economic integration through preferential trade agreements with their major trading partners. The GCC-EFTA Free Trade Agreement is a milestone

agreement in strengthening ties between Switzerland and Liechtenstein and the GCC countries.

4.87. Saudi Arabia enjoys a friendly and substantive relationship with Switzerland and Liechtenstein. Since 2006, initiatives were taken to develop trade and investment relations between the Kingdom of Saudi Arabia and Switzerland and Liechtenstein. The Swiss Business

Association Saudi Arabia and the Saudi-Swiss Business Council were established to pave the way for closer economic ties, to strengthen trade cooperation and to enhance investment opportunities in the three countries.


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4.88. Bilateral trade between the Kingdom of Saudi Arabia and Switzerland reached US$2.3 billion in 2016. The two countries aim to fortify their bilateral cooperation in several fields including construction, tourism, commerce, investment, education, and health.

4.89. We have submitted some questions to Switzerland regarding financial services and will be happy to receive Switzerland replies to these questions.

4.90. In closing, The Kingdom of Saudi Arabia looks forward to continuing the very close working

relationship with Switzerland and Liechtenstein.

4.91. I wish the delegation of Switzerland and Liechtenstein a very successful Trade Policy Review.

NEW ZEALAND

4.92. The questions we have submitted, as well as our statement today, focus predominantly on Switzerland.

4.93. We applaud Switzerland for its generally sound fiscal and economic policies. Despite a difficult global economic environment and the effects of the Euro crisis persisting during the first part of this review period, we were encouraged to see continued economic growth in Switzerland. International trade has contributed to this growth and this is even in spite of the difficulties faced in Switzerland's traditional export industries as a result of the strong franc.

4.94. It is no surprise then that Switzerland remains a strong advocate for the WTO rules-based multilateral trading system. This is a role that we value and is of value to the multilateral trading

system.

4.95. One example is Switzerland's tireless efforts to secure ambitious domestic regulation disciplines in services in fulfilment of the Article VI.4 GATS mandate, and we welcome their participation as a proponent in the current negotiations.

4.96. Switzerland and Liechtenstein participate actively in all aspects of the WTO agenda, including through WTO plurilateral agreements and initiatives such as the Government Procurement Agreement, Information Technology Agreement, and negotiations towards an

Environmental Goods Agreement.

Trade and Environnent

4.97. Switzerland is also a well-known advocate for trade and environment outcomes. A particular example of this is Switzerland's participation in efforts to reform harmful fisheries subsidies. It joined a Ministerial Statement on the issue at MC10 and is a participant in the related plurilateral negotiations. Switzerland's commitment is consistent with the systemic value it places on such

matters, despite the absence of a commercial fishing industry and subsidy programme.

4.98. We also enjoy working closely with Switzerland in other environmental endeavours, including as fellow members of the Friends of Fossil Fuel Subsidy Reform group, and fellow participants (with Liechtenstein) in the Environmental Goods Agreement plurilateral negotiations.

Trading Relationship

4.99. While we have a fairly modest trading relationship our strong and friendly wider relationship, and shared values, continue to provide a good foundation to develop our trading and

investment links.

4.100. Switzerland and Liechtenstein's trade regimes must be commended on their openness. There are though familiar and significant exceptions. Trade distorting protectionism and high tariffs, particularly in the agriculture sector remains an outlier and give us some cause for concern.

Specifically we note that Tariffs on agricultural products remain considerably higher than industrial tariffs – with average agricultural tariffs of 31% as compared to 2% for NAMA.


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4.101. In saying this, New Zealand commends those steps taken and planned towards liberalising the agricultural sector. We, of course, welcome Switzerland having initiated domestic procedures to eliminate export subsidies on agriculture within the deadline committed to in the MC10 Ministerial Decision on export competition. It is encouraging that Switzerland is also acting under its own initiative and in this respect we welcome the Government's Growth Agenda focus on strengthening economic resilience and increasing productivity, including plans to "to facilitate

imports to increase competition in the domestic market". We were pleased to observe that implementation of Switzerland's 2014 referendum on immigration was carried out in a manner to ensure EU-Swiss arrangements, including with respect to trade, were not affected.

4.102. New Zealand acknowledges Switzerland's leading role as an advocate for trade liberalisation in the services and the industrial goods sector. It is therefore no surprise that, as the Secretariat's report indicate, these are the most open and most successful sectors of the Swiss

economy. This aligns with New Zealand and other nations' experiences, and underlines the

importance of trade liberalisation.

4.103. New Zealand, therefore, would like to commend Switzerland and Liechtenstein on a successful trade policy review, while encouraging Switzerland to undertake further market-oriented reforms in its agricultural sector.

BRAZIL

4.104. Ranking among the most prosperous societies in the world, Switzerland and Liechtenstein

have open and diversified economies and profit from an extensive network of preferential trade agreements, led by the Swiss-EU bilateral agreements and the RTAs within the framework of European Free Trade Association.

4.105. One of the top destinations for foreign investment worldwide, the Swiss economy is strongly tied to international trade, with a large services sector and a highly competitive

manufacturing base; likewise, Liechtenstein has a strong industrial sector corresponding to about 40% of its GDP. Staunch supporters of the multilateral trading system, both countries are

committed to strengthening the WTO and to further liberalizing world trade.

4.106. Since the last trade policy review, Switzerland has maintained a stable level of growth at a rate of 1.5%, and unemployment remains low at around 4.5%, despite a difficult economic environment. Efficient infrastructure, a flexible labour market, lean regulations, a stable political and macroeconomic climate and the focus on innovation, research and development contribute to this resilience.

4.107. While the overall Swiss economy is open, the production and import of ethanol and spirits are federal monopolies. With the rejection of a revised Cartel Law in 2014, higher prices prevail for various goods and services in comparison to similar European markets. Administered prices are maintained at the federal, canton and municipal level for certain goods and services.

4.108. Agriculture is very protected. The average bound rate for agricultural goods is 30.8%, whereas for non-agricultural products it stands at 2.3%. Tariff escalation and peaks, target import prices and seasonal tariffs are also applied, resulting in significant import barriers. The average

tariff for products of animal origin is 120%, with peaks of over 1000% for certain out-of-quota imports. There are 28 TRQs, implemented through several sub-quotas, but their administration raises concern: certain allocations appear to be contingent upon local purchases.

4.109. Domestic support is also high. Direct payments to producers and price support for meat, dairy, cereals and other basic products have increased as of recently, and the percentage PSE measured by the OECD stands at 62%. The last DS notification to the WTO covers the year 2013; efforts should be made to promptly notify more recent years. Export subsidies remain in place for

processed agricultural products, due to a specific carve-out included in the Nairobi decision on their elimination.

4.110. On the bilateral front, Brazil is Switzerland's largest trade partner in Latin America. The total bilateral trade flow has doubled in the period 2006-2015, reaching 4.3 billion that year and slightly declining in 2016, in the wake of Brazil's deepening economic crisis. Brazil's exports and


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imports are up this year, by 31% and 15%, respectively, reflecting an improvement in our domestic economic climate and results of the process of reforms underway.

4.111. Brazil has sustained persistent trade deficits with Switzerland that relate, in part, to high levels of agricultural protection. There is certainly room for a more balanced trade flow.

4.112. Swiss companies have been present in Brazil for a long time. The FDI stock amounts to around US$15 billion, concentrated in skilled and dynamic sectors such as pharmaceutics,

automation, construction equipment, food and financial services. Recently, Zurich Airport won the concession of the Florianopolis Airport, in southern Brazil. Several Brazilian companies, among which the giant mining company Vale, have invested US$3.7 billion in Switzerland.

4.113. Brazil welcomes the launching of MERCOSUR-EFTA free trade negotiations. The conclusion of an agreement would provide a boost to economic integration between our countries. The first

round of negotiations is set to take place in June, in Buenos Aires, soon followed by a second one

in Geneva, in the end of August.

4.114. Beyond trade and investment, Brazil and Switzerland enjoy a constructive and fruitful relationship that was elevated to the rank of "Strategic Partnership" in 2008. Federal Counsellor Schneider-Ammann, then President of the Swiss Confederation, visited Brazil in August 2016. The next round of bilateral political consultations will take place this June, in Bern.

4.115. Let me conclude by thanking both delegations for their answers to Brazil's questions regarding certain aspects of the Secretariat and the Government reports and wishing Switzerland

and Lichtenstein a very successful Trade Policy Review.

HONG KONG, CHINA

4.116. Hong Kong, China (HKC) has, for a long time, maintained close and mutually beneficial

economic relations with both Switzerland and Liechtenstein. The Free Trade Agreement between HKC and the Member States of the European Free Trade Association, which entered into force in late 2012, has brought about preferential market access for goods and services, as well as new impetus to trade and investment flows.

4.117. As fellow Members of the WTO, Switzerland, Liechtenstein and HKC also share common interests in promoting free trade and supporting the multilateral trading system. We hope our strong bilateral ties and our partnership within the WTO will continue to strengthen.

4.118. Commenting on specific aspects of trade policies, we note that the tariff structure of Switzerland and Liechtenstein has not changed since the last review in 2013. This means that the applied tariffs are still expressed as specific rates. Although specific duties are simpler to

administer, they do not offer sufficient transparency and predictability in terms of the level of protection. Furthermore, Switzerland operates a complex tariff quota system with overlapping

WTO and preferential tariff quotas, and numerous sub-quotas. Switzerland also levies guarantee fund contributions for the purpose of financing reserve stocks for certain products. Noting that the other duties and charges are bound at zero, we share the Secretariat's view that the imposition of such levies alongside tariffs may exceed Switzerland's bound commitment in several tariff lines. Given these various observations, we would encourage both countries to simplify and improve

their tariff regimes.

4.119. Regarding the actual tariff rates, we are glad to see the percentage of duty-free lines increased from 18.7% in 2012 to 19.7% last year. However, the agriculture sector of both countries remains highly protected by MFN tariffs averaged at 30.8%, which is significantly higher than the 2.3% for non-agricultural products. For vegetables, meat, and dairy products, we also see tariff rates exceeding 100%.

4.120. We encourage Switzerland and Liechtenstein to reduce the tariffs for agricultural products.

This would be consistent with Switzerland's Growth Agenda which seeks to facilitate imports, as a

means of increasing competition and driving productivity domestically.


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4.121. Switzerland and Liechtenstein are among the first 20 WTO Members to formally accept the Agreement on Trade Facilitation (TFA). We appreciate the trade facilitating measures they implemented during the review period, such as waiving the need for proofs of origin in some cases, and simplifying the documentation for small consignments. We encourage both countries to continue their good work in this regard.

4.122. Apart from multilateral agreements such as the TFA, Switzerland and Liechtenstein have

also been actively pursuing plurilateral agreements within the WTO. Like HKC, they are a Party to the expanded Information Technology Agreement, the benefits of which are shared with all Members by virtue of the MFN principle. We are pleased to know that tariff reduction under the Agreement has been implemented in Switzerland and Liechtenstein from 1 January 2017.

4.123. We look forward to Switzerland depositing also its instrument of acceptance to the revised Government Procurement Agreement soon.

4.124. Meanwhile, we are impressed with Switzerland's and Liechtenstein's record of never having applied any specific anti-dumping, countervailing or safeguard measures. Their effort in containing the use of contingency measures is truly exemplary.

4.125. We also commend Switzerland's initiatives to reduce non-tariff barriers to trade. These include reforming its food safety regime to bring it in line with EU legislation, resulting in, among other things, adoption of the negative list approach, whereby all safe food items are allowed unless explicitly prohibited. We also welcome Switzerland's legislative amendment to reduce technical

barriers to trade on medicinal products and medical devices, although we are concerned that the numerous exceptions to the "Cassis de Dijon" principle1 will undermine its effectiveness.

4.126. Separately, we are glad to note that the Liechtenstein Act of 1995 on the marketability of goods was amended last year, to allow goods produced either in conformity with Swiss or EEA regulations to be sold in the country.

4.127. Most economic sectors in Switzerland and Liechtenstein are open to local and foreign investors. However, in Switzerland, investment restrictions continue to apply to activities under

state monopoly, such as certain rail transport, postal and insurance services. Restrictions in the form of residency requirements also apply to sectors such as air and maritime transport. In Liechtenstein, investment restrictions apply to some sectors including financial services. We hope these restrictions can be relaxed.

4.128. At the same time, we hope to work closely with the two countries to further liberalise and promote trade in services. In this connection, we note that they have adopted regulatory changes

in several services sectors, in particular the financial services sector, with a view to enforcing international standards or protecting consumer interests.

4.129. Finally, I wish to thank Ambassador Chambovey and Ambassador Matt for their valuable

contributions to the WTO, both in their capacity as Permanent Representatives and in their own personal capacities. It has been my great privilege and pleasure working with them. I wish Switzerland and Liechtenstein a successful trade policy review.

COLOMBIA

4.130. Las relaciones comerciales entre Colombia y ambos países, que vienen de un tiempo atrás, se consolidaron en julio de 2011 cuando entró en vigor el Acuerdo de Libre Comercio entre Colombia y Suiza y Liechtenstein, dos de los países miembros de la Asociación Europea de Libre Comercio (EFTA por sus siglas en ingles). No obstante lo anterior, si bien el marco institucional para el crecimiento del comercio bilateral fue establecido gracias a este Acuerdo, aun en mucho más lo que se puede hacer para lograr su aprovechamiento, principalmente para el crecimiento de las exportaciones manufactureras y agroindustriales de Colombia hacia Suiza.

1 Under the Cassis de Dijon principle, products that are lawfully marketed in the EU or the EEA may be

marketed in Switzerland without further checks regarding their technical requirements.


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4.131. En contraste con él ámbito comercial, donde los resultados no han sido aún los esperados, la relación bilateral se ha fortalecido por las inversiones de Suiza en Colombia que alcanzaron su mayor registro durante el 2014, año en el que Suiza se posicionó como el país con mayor inversión en Colombia. Adicionalmente, el número de turistas suizos visitando Colombia desde 2011 mantienen una tendencia creciente. A su vez, celebramos y agradecemos que estas relaciones, que trascienden de lo comercial, se hayan materializado también en el compromiso por parte de

Suiza de acompañar el proceso de construcción de una paz estable y duradera en nuestro país. Animamos a Suiza a mantener y fortalecer su cooperación sobre todo en temas de comercio y desarrollo.

4.132. En cuanto al desempeño económico de Suiza, es notable la capacidad demostrada para afrontar el difícil entorno vivido principalmente por los problemas económicos de la zona euro y la apreciación del franco. Suiza logró mantener un crecimiento moderado y una tasa de desempleo

baja. Sin embargo, el país enfrenta un desafío en materia de competitividad por el estancamiento

en la productividad y sus precios elevados. La puesta en marcha de la "Nueva Política de Crecimiento para 2016-2019" busca mantener un sector de exportación competitivo y mejorar la competitividad de un sector interno costoso.

4.133. En el ámbito comercial, se destaca la apertura del bloque EFTA y su amplia participación en acuerdos comerciales, con más de 25 acuerdos en vigor. Esta circunstancia le ha permitido a Suiza consolidar y diversificar su portafolio sus exportaciones a países como Estados Unidos, China

y Medio Oriente.

4.134. De otra parte, como se señala en el informe de la Secretaría, el arancel de aduanas comprende exclusivamente derechos específicos, que aunque se caracterizan por su simplicidad administrativa, pueden generar inconvenientes por la falta de transparencia y de previsibilidad, no me queda claro si esto es verdad. A su vez, Suiza mantiene altos aranceles para productos agropecuarios, principalmente para carne, hortalizas y productos lácteos.

4.135. Abonamos los esfuerzos realizados por Suiza para dar cumplimiento a la Decisión

Ministerial de Nairobi relativa a la competencia de las exportaciones, que fue un hito en las negociaciones agrícolas y esperamos contar con su compromiso para continuar el proceso de reforma en este importante sector de la economía.

4.136. También se destaca la armonización de sus reglamentos técnicos con las de la Unión Europea. Esto podrá impactar positivamente a socios comerciales que tienen relaciones con ambos bloques de países, al facilitar el comercio y reducir las barrear no arancelarias de acceso a estos

mercados.

4.137. En cuanto a los servicios bancarios celebramos las medidas de ambos países para adoptar la normativa del intercambio automático de información en materia fiscal, para luchar contra la evasión fiscal transfronteriza. Además de las disposiciones concretas recomendadas por el Grupo de Acción Financiera.

4.138. Para finalizar, agradecemos a ambos países por las respuestas a las preguntas que realizamos en el marco de este examen y le deseamos a ambas delegaciones el mayor de los

éxitos en este su quinto examen de Política Comercial. En especial, a la Secretaria de Estado por las contribuciones realizadas como jefa del Equipo Negociador de EFTA en el acuerdo con Colombia.

ARGENTINA

4.139. La Argentina quiere resaltar el alto grado de apertura y avance que presentan las economías de Suiza y Liechtenstein, lo cual les ha permitido atravesar con éxito los problemas económicos globales durante el período bajo examen. A pesar de las dificultades del entorno,

Suiza ha seguido creciendo a un promedio de 1,5 % entre 2013-2015, y la tasa de desempleo se ha mantenido relativamente baja (4,5%). Por su parte, Liechtenstein ha mantenido su competitividad gracias a los productos especializados y a las reformas normativas en el sector de

los servicios financieros.


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4.140. La Argentina desea resaltar el compromiso de Suiza y Liechtenstein con el comercio internacional, y comparte los esfuerzos por contribuir a un sistema multilateral de comercio justo y equilibrado.

4.141. Deseamos destacar la activa participación de Suiza en las negociaciones en curso en el marco de esta Organización, como así también su aporte en iniciativas que pueden llevar a una mayor liberalización del comercio y desarrollo, como el comercio electrónico y la mayor inserción

internacional de las micro, pequeñas y medianas empresas. Resultan también positivos los esfuerzos destinados a facilitar el comercio, como la exención del requisito de las pruebas de origen en algunos casos y la utilización de formularios simplificados para los pequeños envíos.

4.142. En relación con el sector agrícola, recibimos con optimismo que la Política Agrícola 2014-17 de Suiza contemple esfuerzos positivos para atender cuestiones relacionadas con sus compromisos de Caja Verde. Destacamos especialmente el anuncio que para el año 2020 habrán sido

completamente eliminados los subsidios a la exportación de productos agrícolas, en línea con la Decisión Ministerial de Nairobi de 2015.

4.143. El comercio bilateral con Suiza registró un saldo favorable para nuestro país en el período 2008-2016. Durante el año 2016, las exportaciones alcanzaron la suma de 1.141 millones de dólares EE.UU. (una caída del 9,3% respecto de 2015) y las importaciones totalizaron 515,6 millones de dólares EE.UU. (reducción del 25% respecto a 2015). Mientras que el saldo comercial con Suiza en 2016 fue superavitario para nuestro país en 625,2 millones de dólares EE.UU., el

comercio bilateral con Liechtenstein registró en ese periodo un déficit de 1,3 millones de dólares EE.UU.

4.144. En 2016, Suiza ocupó el decimocuarto (14º) lugar como destino de las exportaciones y el decimosexto (16º) lugar como proveedor de la Argentina. Liechtenstein, por otro lado, ocupó el lugar 206º como destino de las exportaciones y el 103º lugar como proveedor del país.

4.145. En 2015, Suiza fue el 6º inversor en nuestro país. El stock de Inversión Extranjera Directa (IED) suiza fue de 3.749 millones de dólares EE.UU. Notamos que la inversión extranjera directa

suiza en Argentina se encuentra poco diversificada, siendo los sectores más relevantes: oleaginosas y cereales (37% del stock de IED suizo en 2015), industria química, caucho y plástico (23%) y petróleo (7%).

4.146. En abril de este año la Presidente de la Confederación Suiza, Doris Leuthard, realizó una visita oficial a la Argentina, ocasión en la que se realizó también un foro empresarial con funcionarios y representantes sectoriales de ambos países. Las conversaciones bilaterales se

centraron en el desarrollo de infraestructura en los ámbitos de energía, transporte, agro alimentos y servicios. Se intercambiaron ideas sobre la reforma del mercado financiero, el financiamiento para pequeñas y medianas empresas y las potencialidades de un Acuerdo entre el Mercado Común del Sur (MERCOSUR) y la Asociación Europea de Libre Comercio (EFTA, por sus siglas en inglés). Dentro de este contexto auspicioso, la Argentina continuará trabajando conjuntamente en busca de la profundización de los lazos bilaterales.

4.147. En el marco de este examen de política comercial, la Argentina presentó a Suiza preguntas

vinculadas con la posibilidad de una mayor apertura en el sector agrícola, la aplicación de procedimientos de aprobación especiales a las importaciones de alimentos y la asistencia en la exportación de sus productos a las PyMES orientadas a la exportación. Las respuestas proporcionadas serán analizadas en detalle.

4.148. Finalizando, y al tiempo de reiterar nuestro reconocimiento por esta nueva oportunidad de intercambiar opiniones y consideraciones sobre las políticas y prácticas comerciales de Suiza y Liechtenstein, no quisiéramos dejar de resaltar una vez más la importancia de este ejercicio de

transparencia en todos sus aspectos y desear a sus autoridades la exitosa conclusión de este ejercicio.

COSTA RICA

4.149. Switzerland has been more than an active Member and a leader in the multilateral trading system. Together with Liechtenstein, they have given remarkable importance to elements like


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innovation and expanding their participation in services as a driving force to diversify their economies. Understandably, Switzerland is a member of the Information Technology Agreement (ITA) and its expansion, and both Switzerland and Liechtenstein have been committed parties in negotiations in Services and the promotion of agreements in environmental goods.

4.150. Costa Rica shares many similarities and common interests with Switzerland and Liechtenstein. We are small territories with beautiful mountainous landscapes, we share high

literacy and life expectancy levels, and belong to a small and select group of neutral countries. We are also part of the group known as the "Small Five" at the United Nations, where we promote transparency and accountability. Here, at the WTO, we share with Switzerland our common views in the group of Friends of the System, Friends of Fossil fuel Subsidy Reform, Friends of Antidumping Negotiations and most recently in the informal group of Friends of MSMEs. As well as Switzerland, Costa Rica is committed to eliminate export subsidies. For that reason, we welcome

Switzerland's efforts to implement these commitments as soon as possible, in line with the WTO

agreements.

4.151. On August and September 2014, the Free Trade Agreement between Costa Rica and Panama, another neutral country, and the European Free Trade Association (EFTA) members, of which Switzerland and Liechtenstein are part, entered into force. This Free Trade Agreement represented a natural step in our process of consolidating the international trade platform we have been building for more than two decades. The growing importance of the relationship between our

countries and our complementarity is reflected in the average annual increase rate of trade, which has been of 9.4% between 2012 and 2016. Switzerland is also an important source of FDI for Costa Rica, especially in the pharmaceutical sector and we see great potential in other areas like biotechnology, clean energies and value added services.

4.152. As increasingly open economies, Switzerland and Liechtenstein have taken important steps to stimulate trade competition and exhort them to continue their efforts to increase their level of liberalization. We encourage the development of such actions, which include the harmonization of

technical requirements and applying trade facilitation measures. There are still opportunities to reduce particularly high tariffs currently applied to agricultural products which averaged 30.8% in 2016, and to simplify their applied tariffs by changing them to ad valorem basis. Costa Rica also recognizes the shift taken by Switzerland to increase the support for renewables very positively, and awaits to see the development of the "Energy 2050 Strategy" after the upcoming referendum.

4.153. Finally, I would like to thank the reviewed Members for providing answers to the questions

submitted by Costa Rica. These are being revised in my Capital and we will come back with follow-up comments in case needed.

4.154. I wish Switzerland and Liechtenstein a successful Trade Policy Review and look forward to their continuous engagement and leadership in this House.

MALAYSIA

4.155. We are encouraged by the efforts by both Switzerland and Liechtenstein to maintain a generally open trade regime when protectionism is globally on the rise during these challenging

times.

4.156. We note from the Secretariat's report that Switzerland has implemented the Agricultural Policy 2014-17 as well as initiation of domestic procedures to eliminate such export subsidies by January 2019, in line with commitments made at the WTO Ministerial Conference in Nairobi. Nevertheless, agriculture and some domestic services and remain the economy's greatest weaknesses in terms of international competitiveness and remains vulnerable to a more competitive environment – highlighting the need for more market-oriented reforms.

4.157. We also note Switzerland's effort in improving her competitiveness, through its "New Growth Policy 2016-2019" with the focus strengthening the resilience of the economy. It is encouraging to note that the policy would further open the economy to imports.

4.158. We are also pleased to note that, in terms of investment, Switzerland and Liechtenstein have a stable and predictable investment regime. Most sectors are open to national and foreign


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investment; however, we note that investment restrictions continue to apply in Switzerland to several sectors. Thus, we encourage both Switzerland to review and relax their existing restrictions.

4.159. While we gear up towards the MC11 this year, Malaysia calls on Switzerland and other key Members to help shape meaningful outcomes at the MC11, deliverables that would benefit all Members with development at the core. In this, we appreciate Switzerland's participation in

supporting discussion of Micro SMEs of which Malaysia and several other Members are also part of the initiative, to promote the participation of MSMEs in the global value chain.

4.160. Bilateral trade between Malaysia and Liechtenstein is relatively small, with trade valued at US$1.8 million in 2016 of which Malaysia's exports amounted to US$800 thousand and imports valued at US$1 million. Meanwhile, Switzerland was Malaysia's 21st largest trading partner, 18th largest import source and 32nd largest export destination. In 2016, total trade in goods stood at

US$2.4 billion with exports valued at US$600 thousand and imports at US$1.7 billion. Malaysia's main imports from Switzerland are mainly machinery, equipment, chemical and chemical products and, optical and scientific equipment. Malaysia's exports to Switzerland also include electrical and electronic products, metals, and rubber products among others.

4.161. Swiss companies are among the major investors in Malaysia, which today is valued at US$1.3 billion. In 2016, approved manufacturing projects were valued at US$116 million. The continued interest by Swiss investors is a reflection of Malaysia-Switzerland long history of

bilateral relations and the confidence shown in Malaysia's predictable open market.

4.162. To further strengthen trade between Malaysia and Switzerland as well as Liechtenstein, Malaysia has embarked on an FTA negotiation with the European Free Trade Association (EFTA) in 2012. Negotiation is still on-going and we do hope that this preferential agreement could be concluded in the near future for both the mutual benefit of businesses in both countries.

4.163. Malaysia had submitted several questions and we would like to thank Switzerland for her responses and these are being examined at the Capital. We will also be submitting additional

questions later and look forward to receiving the feedback.

4.164. Malaysia wishes the delegation of Switzerland and Liechtenstein a successful fifth joint Trade Policy Review.

EL SALVADOR

4.165. Para El Salvador es un honor participar en este ejercicio de transparencia de dos países que siguen siendo firmes promotores de un sistema multilateral de comercio sólido y basado en

normas y, en tiempos difíciles para la economía mundial como los que atravesamos, promueven los principios de libre comercio en los que se basa esta Organización. En particular, reconocemos los importantes esfuerzos de Suiza como país sede de la OMC, y su contribución al fortalecimiento

del sistema multilateral del comercio.

4.166. Entrando en la materia que nos ocupa, en el ámbito económico, es de reconocer que durante el período objeto de examen, la economía suiza, muy diversificada y avanzada, ha demostrado su capacidad de resiliencia ante los problemas económicos de la zona del euro. A

pesar de las dificultades del entorno, su crecimiento ha sido en promedio del 1,5% en el período 2013-2015, y la tasa de desempleo se ha mantenido relativamente baja, en un 4,5%.

4.167. Por su parte, Liechtenstein tiene una economía diversificada basada en un sector industrial relativamente amplio, el cual representa alrededor del 41% del PIB y el sector de los servicios financieros que representa cerca del 25% del PIB. Al ser un país con un mercado interno muy pequeño, su economía está muy orientada a la exportación y, en este sentido, ha mantenido su competitividad principalmente en virtud de sus productos especializados y las reformas normativas

emprendidas en el sector de los servicios financieros.

4.168. Suiza es un socio comercial estratégico para El Salvador y el fortalecimiento de nuestras relaciones bilaterales continúa siendo una prioridad para mi país. Suiza y la región centroamericana comparten importantes lazos en materia de cooperación. En el caso particular de


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El Salvador, la Cooperación Suiza dio inicio en el año 1982, lo cual ha contribuido al fortalecimiento de las relaciones entre ambos países. En general, la Estrategia de Cooperación Suiza para América Central para el período 2013-2017 se orienta a contribuir a la reducción de la pobreza, a través del desarrollo económico inclusivo, la disminución de la vulnerabilidad ambiental y los efectos del cambio climático, entre otros.

4.169. En lo que respecta al comercio bilateral, el monto de las exportaciones salvadoreñas a

Suiza se incrementaron en un 25,6% entre los años 2015 y 2016 y las mismas están compuestas principalmente por textiles confeccionados, prendas y complementos de vestir, café, caucho y sus manufacturas, muebles, entre otros.

4.170. Por su parte, las importaciones provenientes de Suiza han mostrado un incremento sostenido durante el período en examen, alcanzando un monto de alrededor de 51 millones de dólares EE.UU. en el año 2016. Las importaciones se concentran principalmente en productos

farmacéuticos, aceites esenciales y resinoides, pigmentos y demás colorantes, preparaciones alimenticias diversas, entre otras.

4.171. Es importante resaltar el liderazgo y la destacada participación de Suiza en los trabajos ordinarios y de negociación que se llevan a cabo en la OMC lo cual ha contribuido a alcanzar importantes resultados recientes en diversas áreas, incluyendo en materia de facilitación de comercio y agricultura. En este sentido, instamos a Suiza a continuar contribuyendo a la reducción de las distorsiones en el mercado agrícola, a favor de un comercio más justo y equilibrado, en

beneficio de todos los agricultores.

4.172. Igualmente es de señalar que la participación activa de Suiza en diferentes iniciativas encabezadas por líderes mundiales, encaminadas a discutir temas de actualidad mundial y que tienen relevancia con esta Organización. Finalmente, cabe también destacar la importante contribución de Suiza y Liechtenstein al fomento de la participación de los países en desarrollo en las negociaciones comerciales, a través de fondos de cooperación.

4.173. No me queda desear más que los mejores éxitos a Suiza y Liechtenstein en este ejercicio

de política comercial.

4.174. Agradecemos a Suiza por la respuesta a las preguntas que realizamos, las cuales estaremos enviando a nuestra capital para su análisis.

THE SEPARATE CUSTOMS TERRITORY OF TAIWAN, PENGHU, KINMEN AND MATSU

4.175. I would like to take this opportunity to express how much we appreciate the leadership roles played by both Ambassador Didier Chambovey and Ambassador Peter Matt in our day-to-day

work. Their dedication and professionalism are important elements in helping to facilitate our discussions in many of the WTO negotiations.

4.176. Since their last review in 2013, the trade regimes of Switzerland and Liechtenstein have remained generally open, and we admire the work and the progress made in both economies in recent years.

4.177. Switzerland, with a trade-to-GDP ratio of 60% is among the most internationally integrated economies in the world. Despite a somewhat difficult international trading environment,

the Swiss economy continued to grow by 1.5% on average between 2013 and 2015, accompanied by a relatively low unemployment rate of just 4.5%. The country enjoys good governance with a system of direct democracy that is deeply rooted in the Swiss tradition and an economy managed with a high degree of fiscal prudence.

4.178. Liechtenstein, despite its size, manages to maintain a diversified economy, based mainly on a comparatively large industrial sector (about 41% of GDP) and the financial services industry which accounts for about 25%. It retains its competitiveness by specializing in niche products, and

a continuous programme of regulatory reform in the financial services sector. These seem to be

the main reasons for its GDP increasing every year over the period under review, with highs of +4.7% in 2013 and +3% in 2014.


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4.179. Both Switzerland and Liechtenstein continue to be strong supporters of a rules-based multilateral trading system, and even during difficult times for the global economy they advocate further trade liberalization. For example, Switzerland ratified the Trade Facilitation Agreement (TFA) in September 2015, a key outcome of the Bali MC9, and its implementation of the expanded Information Technology Agreement (an MC10 achievement that will surely benefit all Members), is currently subject to legislative changes that should be completed by mid-2017.

4.180. In our written questions to Switzerland submitted in advance, we are seeking further clarification of certain aspects of its trade policy direction and approach. Our thanks to Switzerland for its replies to these questions, which we shall examine very carefully.

4.181. I would like to mention a few of the issues that we raised, in which we have a particular interest.

4.182. First, the so-called "Swissness legislation" allows a previously recognized geographical

indication (GI) to be registered as a geographical trademark. This new mechanism is introduced as an additional instrument in order to further facilitate the protection and enforcement of the rights of GIs abroad under trademark law regimes. We would like to engage with the Swiss Mission to explore the terms of implementing this new mechanism in further detail.

4.183. Second, while we appreciate that Liechtenstein was the first WTO Member to ratify the revised plurilateral Agreement on Government Procurement in 2013, Switzerland's ratification of the revised GPA is still eagerly awaited in the near future.

4.184. And, thirdly, along with many Members with similar concerns, we would appreciate having more information from Switzerland on its restrictions or requirements affecting foreign investment, and its measures taken or planned to facilitate imports, to implement the Trade Facilitation Agreement, to protect copyrighted works in the digital environment, etc.

4.185. Finally, on our bilateral trade and investment relationship with Switzerland and Liechtenstein, we have very close and longstanding economic ties with both countries. Currently, Switzerland is among one of our top trading partner and an important destination for our overseas

investment. In 2016, the total value of bilateral trade between us was around US$2 billion, while our new investment in Switzerland and Liechtenstein together totalled about US$200 million.

4.186. Our trade and investment with both countries may have shown significant growth, but it is evident that there is still huge potential for improvement. We would definitely benefit from continuing efforts to deepen our bilateral cooperation in trade, investment, culture and other important areas in the future.

4.187. In conclusion, I take the opportunity to wish Switzerland and Liechtenstein a very successful Trade Policy Review.

CANADA

4.188. Canada appreciates the opportunity to participate in the WTO's trade policy review mechanism, which is an important function of the WTO. Canada welcomes a collaborative approach to examining key themes and questions with a view to enable practical exchanges of information on our bilateral commercial relations with Switzerland and Liechtenstein, respectively.

4.189. Switzerland and Liechtenstein have reiterated their deep commitments to the multilateral trading system and to ongoing liberalization efforts. Like Canada, Switzerland and Liechtenstein are trading nations largely dependent on foreign markets for their economic prosperity. Canada-Swiss/Canada-Liechtenstein bilateral relations are close, positive and constructive. Our like-minded values are reflected in our strong commitment to working together on key global issues such as free trade, environmental protection, peacekeeping and protection of human rights, including a focus on inclusion and gender equality. Trade and innovation are of high importance to

our respective markets and there are excellent business and investment opportunities for

Canadian companies across a wide range of sectors in the market. Many opportunities exist as well for Swiss and Liechtensteinian companies looking to do business and to expand their activities in Canada.


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4.190. In partnership with Iceland and Norway, Canada, Switzerland, and Liechtenstein are parties to the Canada-European Free Trade Association Agreement (CEFTA). This goods-focussed agreement reflects our shared commitment to trade liberalization. Canada and EFTA are also currently exploring the potential to expand this FTA. Expanding the CEFTA and other bilateral trade agreements to include new and modern elements would be an opportunity to show leadership in international trade, secure the benefits of further liberalisation, and ensure that these benefits are

broadly shared.

4.191. While we accord particular importance to our relationships with Switzerland and Liechtenstein, we would like to share certain preoccupations in the hopes of maintaining and advancing our strong links. In relation to Switzerland's bans on the import of seal products with exceptions for those items derived from hunts traditionally conducted by Inuit or other indigenous communities, Canada continues to question the legitimacy of the ban from a policy standpoint.

Moreover, Canada disputes any claim that the Swiss seal ban contributes to preserving wildlife in

the Arctic. Seals are integral to the livelihoods of Indigenous people in the Canadian Arctic, and these communities have been relying on this resource in a sustainable and humane manner for millennia.

4.192. Canada also encourages Switzerland to enhance its efforts to liberalize trade in its agricultural sector. The progressive elimination of export subsidies, the reduction of domestic support and improved market access for agricultural products would benefit Switzerland as much

as its commercial partners. Canada takes note of Switzerland's efforts towards a plan to eliminate export subsidies by 2020 and looks forward to further agricultural policy reforms.

4.193. Despite these concerns, Canada and Switzerland enjoy a very healthy trading relationship. The Government of Canada recognizes that trade, investment and innovation are vital to our respective economies, and Canada is committed to maintaining and expanding access to existing and new markets.

4.194. Trade and investment between both Canada and Switzerland and Canada and

Liechtenstein is strong and growing. We have developed a sophisticated bilateral commercial relationship spanning from the traditional trade in goods to greater trade in services, innovation and investment. Together, Switzerland and Liechtenstein are Canada's 14th largest merchandise trading partner with two-way trade amounting to nearly $6 billion in 2016. Our mutual exchange of foreign direct investment with the two countries is also significant, with Switzerland being the 10th largest foreign investor in Canada.

4.195. Indeed, like Switzerland and Liechtenstein, Canada recognizes the importance of ensuring that trade results in broad-based benefits for our citizens and for those throughout the world. This is fundamental to Canada's progressive trade agenda. Canada looks forward to working constructively with Switzerland and Liechtenstein to facilitate the mutual prosperity that can flow from our economic relationship, and to build a strong domestic and global consensus on the value of trade, investment and inclusive growth.

4.196. The World Economic Forum Global Competitiveness Report ranked Switzerland as the most

competitive economy in the world for 2016-2017, a distinction it has held for the last eight years. Switzerland's innovation-driven and knowledge-based economy provides foreign companies and institutions with opportunities for collaboration and for attracting investment in research and development.

4.197. Switzerland is a priority science, technology, and innovation partner for Canada. Canada deeply values its bilateral relationship with the numerous partnerships between our respective research organizations, and we welcome opportunities to further collaborate in the area of science,

technology and innovation. Indeed, our mutual commitment to promoting innovation and international business development contributes to growing a dynamic bilateral commercial partnership. Other areas of collaboration include the Canada-Switzerland Tax Convention and the Canada-Switzerland Air Transport Agreement.

4.198. In closing, we appreciate the opportunity for this constructive exchange of views on all aspects of Switzerland's and Liechtenstein's economies. We have submitted a number of questions


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and thank the parties for their responses, which we are still reviewing. Finally, we wish the delegation the utmost success during this review.

GUATEMALA

4.199. Guatemala mantiene una sólida relación de amistad y cooperación con Suiza y Liechtenstein. Ésta se ve reflejada en una diversidad de áreas tales como el comercio y la economía, así como en los diferentes intercambios en materia científica, de justicia, seguridad y

cultura entre otros. De igual forma, Suiza y Guatemala han firmado acuerdos en diferentes ámbitos tales como el comercio, transporte aéreo y protección recíproca de inversiones.

4.200. El Acuerdo de Promoción y Protección Recíproca de Inversiones entre Suiza y Guatemala entró en vigor en mayo de 2005. En junio de 2015, Guatemala firmó el protocolo de adhesión al Acuerdo Comercial entre Centroamérica y la Asociación Europea de Libre Comercio (AELC), de la

que forman parte tanto Suiza como Liechtenstein. Dicho Acuerdo está aún pendiente de ser

aprobado por el Congreso de la República de Guatemala, pero tras su entrada en vigor, permitirá a Guatemala el ingreso exento de aranceles para el 77% de los productos agrícolas y el 100% de los productos manufacturados.

4.201. En 2016, el flujo comercial entre Guatemala por un lado y Suiza y Liechtenstein por el otro, superó los 26.8 millones de dólares EE.UU. Los principales productos suizos importados por Guatemala son productos farmacéuticos, cosméticos, aparatos mecánicos para usos electrotécnicos e instrumental médico. Los principales productos guatemaltecos exportados a

Suiza y Liechtenstein son café, fungicidas y desinfectantes, así como papel y cartón.

4.202. Respecto de la revisión que hoy se realiza de las políticas comerciales de Suiza y Liechtenstein, durante el período 2013-2017, subrayamos el carácter diversificado y avanzado de sus economías, característica que les ha permitido hacer frente a las diferentes complejidades del entorno económico mundial en la última década. Gracias a ello, así como a su sólido nivel de

gobernanza y la aplicación del principio de prudencia fiscal, ambos países han logrado mantener una posición sólida y constante en la economía mundial.

4.203. Como retos futuros, instamos a Suiza a seguir adelante con la implementación de los compromisos alcanzados en la Décima Conferencia Ministerial realizada en Nairobi, relativos a las subvenciones otorgados a la exportación de productos agrícolas y agroindustriales. De igual forma, es un importante reto a corto plazo encontrar vía para hacer frente a la dificultades económicas relativas a la competitividad, como resultado de la fortaleza del franco suizo, los elevados precios internos y el reducido incremento de la productividad.

4.204. Reconocemos los esfuerzos y logros importantes alcanzados por Suiza y Liechtenstein durante el período estudiado. Agradecemos también las respuestas a las preguntas planteadas por Guatemala en el marco de este examen.

4.205. Esperamos continuar fortaleciendo nuestros importantes vínculos comerciales y deseamos a la delegación que representa hoy a ambos países, una exitosa conclusión de su examen de políticas comerciales.

ECUADOR

4.206. Este Examen de Políticas Comerciales reviste gran interés para nuestro país puesto que, actualmente, estamos avanzando hacia la conclusión de un Acuerdo Global de Asociación Económica (CEPA) entre Ecuador y la Asociación Europea de Libre Comercio (EFTA). De hecho, me gustaría aprovechar la oportunidad para expresar a todos los miembros de EFTA, por intermedio de las delegaciones de Suiza y Liechtenstein, nuestra gratitud por el excelente recibimiento que se brindó a los negociadores ecuatorianos durante la II Ronda que tuvo lugar en febrero pasado en esta ciudad.

4.207. Confiamos en que las negociaciones continuarán avanzando positivamente, como la han

venido haciendo hasta el momento, de modo que muy pronto podamos llegar a un arreglo mutuamente provechoso, que conjugue nuestros intereses comunes y refleje la tradicional relación de amistad que existe entre nuestros pueblos.


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4.208. En cuanto se refiere al informe presentado por la Secretaría, tomamos nota de la gestión saludable y sensata de la economía suiza, lo cual se manifiesta en sus índices macroeconómicos y su continuo crecimiento.

4.209. Notamos la habilidad que ha demostrado Liechtenstein, el cual se ha sobrepuesto a las dificultades que entraña ser un país pequeño, que no solamente ha desarrollado un sector industrial dinámico sino que se ha posicionado como uno de los referentes a nivel mundial en el

sector de servicios financieros.

4.210. Observamos que le "franco fuerte" genera problemas de competitividad, especialmente en vista de las grandes diferencias de precios internos con sus vecinos de la Unión Europea. En este sentido, anotamos el actual enfoque destinado a fomentar la competencia de los precios a estimular la productividad.

4.211. Sobresale de igual forma la aplicación del principio "Cassis de Dijon" para la eliminación de

obstáculos técnicos a las importaciones, más será necesario profundizar en más detalle sobre su aplicación práctica a fin de evaluar su efectividad.

4.212. En este marco, saludamos con agrado la eliminación del principio positivo en el régimen de inocuidad alimentaria vigente desde el 1° de mayo pasado.

4.213. El informe subraya el aumento del volumen de comercio de Suiza en el marco de acuerdos preferenciales, en particular a través de la firma de varios acuerdos nuevos, una red que Suiza continúa ampliando de manera muy dinámica.

4.214. En lo multilateral, saludamos la aceptación por parte de Suiza y Liechtenstein del Acuerdo sobre Facilitación del Comercio (AFC) de la OMC en 2015.

4.215. Felicitamos por las medidas tomadas para reforzar la legislación contra el blanqueo de

dinero, así como las acciones emprendidas para la eventual eliminación de las subvenciones a la exportación, de conformidad con los compromisos adquiridos en la Conferencia Ministerial de Nairobi.

4.216. No obstante, se observa que Suiza continúa manteniendo su sector de la agricultura

altamente protegido mediante elevados aranceles a la importación de los productos sensibles. Asimismo, su sistema de contingentes es eminentemente complejo.

4.217. Para los países en desarrollo como Ecuador, comercio y desarrollo van juntos en la medida en que se cumpla el objetivo de abrir nuevos mercados para nuestros productos y mejorar sus condiciones de acceso. Una mayor apertura para los países en desarrollo nos beneficia a todos, genera empleo y riqueza, aporta a la equidad y crea un mejor futuro.

4.218. Las previsiones económicas vaticinan la continuidad del crecimiento económico sostenido

de Suiza y Liechtenstein en los años venideros. Esperamos que ambos países continúen robusteciendo su economía en los sectores en los que requieren refuerzo, a fin de continuar cumpliendo las metas socioeconómicas que se han planteado para el futuro.

4.219. Para concluir, deseamos agradecer a las delegaciones de Suiza y Liechtenstein por las respuestas que proporcione a las preguntas que hemos planteado sobre algunos aspectos concretos de su política comercial, que serán información importante para el fortalecimiento de las

relaciones bilaterales en materia de comercio exterior.

4.220. Auguro a ambos países el mejor de los éxitos en el presente Examen.

CHILE

4.221. Los vínculos entre Chile y Suiza se remontan hacia fines del siglo XIX, gracias al asentamiento de un grupo de ciudadanos suizos en la zona de la Araucanía, en el sur de nuestro

país. Se estima que más de 8.000 suizos recibieron concesiones de tierras en esa zona donde, con el tiempo, lograron prosperar y dejar une imprenta productiva y cultural característica.


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4.222. Tal herencia y presencia en nuestra sociedad se ha visto reflejada en el tiempo, por ejemplo, con la elección de dos destacados Presidentes de la República de segunda y tercera generación suiza, los presidentes Eduardo Frei Montalva, en 1964, y Eduardo Frei Ruiz-Tagle, en 1994. Hoy, los flujos migratorios son inversos y alrededor de 7.000 chilenos han hecho de Suiza su hogar y su lugar para trabajar y prosperar.

4.223. Los pilares centrales de la relación Chile-Suiza están asociados a materias como energía,

minería, educación, innovación, cooperación, inversiones y comercio, medio ambiente y joint ventures a nivel de Pymes. Ambos países compartimos, asimismo, valores y principios en su accionar internacional, y somos miembros activos de una serie de instancias internacionales multilaterales.

4.224. Reflejo de esta estrecha relación es precisamente la realización de una reunión de consultas políticas entre ambos países, el próximo 22 de mayo, en Berna.

4.225. Chile, Suiza y Liechtenstein son economías abiertas al mundo y con un alto grado de dependencia del comercio internacional. Por lo tanto, la colaboración en el marco de la OMC es esencial para mantener el sistema multilateral basado en reglas, y seguir avanzando en la liberalización comercial, particularmente en aquellas áreas más sensibles como la agricultura.

4.226. La relación comercial entre Chile y Suiza así como de Chile y Liechtenstein, se enmarcan en el Tratado de Libre Comercio suscrito el 2003 en nuestro país y la Asociación Europea de Libre Comercio (AELC o EFTA por sus siglas en inglés), comunidad integrada por Islandia, Noruega,

Liechtenstein y Suiza.

4.227. Dicho tratado cubre todas las áreas principales de las relaciones económicas, incluyendo el comercio en bienes, servicios e inversiones. Como complemento a este TLC, Chile y Suiza han instaurado una instancia de Diálogo Económico Bilateral.

4.228. El TLC entre Chile y EFTA ha permitido ir aumentando nuestro comercio bilateral desde su suscripción. Desde la entrada en vigencia del Acuerdo el año 2004, el intercambio comercial con EFTA se ha expandido a una tasa anual del 20% lo que ha permitido crecer en un 50% en estos

años.

4.229. Producto del Acuerdo, la mayor parte del monto exportado a los países EFTA ingresan libre de arancel. En cuanto a Suiza, ingresa con arancel cero el 90,7% del universo arancelario, lo que corresponde a más del 96% del monto exportado por Chile. Por su parte, el 88% de las importaciones provenientes de Suiza entran a Chile libres de arancel.

4.230. El intercambio comercial con Suiza – que representa el 89% del comercio exterior chileno

con el EFTA – totalizó 819 millones de dólares EE.UU durante el año 2016. Ello representa un aumento del 5,5% respecto al año anterior. Este aumento es una señal positiva, especialmente si se comparan con la variación entre el 2014 y 2015 donde se produjo una contracción del 46%. En

relación a la balanza comercial, en 2016 ésta presentó un saldo positivo para Chile de 306 millones de dólares EE.UU.

4.231. Pese al éxito que ha representado el Acuerdo entre Chile y EFTA, es importante analizar y ver si existen espacios para mejoras y poder darle un sello de Acuerdo Siglo XXI. En tal sentido,

ambas partes hemos iniciado un proceso con miras a modernizar el Acuerdo y poder incorporar nuevos elementos de comercio que no necesariamente era la norma incluir hace más de 10 años.

4.232. En otro ámbito, cabe mencionar que Suiza es un Estado Observador de la Alianza del Pacífico desde el 10 de febrero de 2014.

4.233. En cuanto a las características económico-comerciales de Suiza, saludamos el hecho que a pesar de las dificultades del entorno, ha seguido creciendo un promedio del 1,5% en el período 2013-2015, y la tasa de desempleo se ha mantenido relativamente baja (4,5%).

4.234. Saludamos, asimismo, la adopción por parte de Suiza y Liechtenstein del intercambio automático de información (AEOI) en materia fiscal, para luchar contra la evasión fiscal


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transfronteriza, en lo que respecta a los servicios bancarios. Al mismo tiempo, estimamos como altamente positivo que Suiza haya reforzado la legislación contra el blanqueo de dinero.

4.235. Otro aspecto positivo a destacar se refiere al hecho que el Gobierno de Suiza haya iniciado procedimientos internos para eliminar su política de subvenciones a la exportación – contenidas en su Política Agrícola 2014/2017 – a más tardar en enero de 2019, de conformidad con los compromisos adquiridos en la Conferencia Ministerial de Nairobi.

4.236. Si bien los regímenes comerciales de Suiza y Liechtenstein se sitúan entre los más liberales en el marco de la OMC, no podemos de dejar de llamar la atención respecto de la excesiva protección existente en el sector agropecuario, a través de diversas medidas arancelarias y no arancelarias.

4.237. Si analizamos el Perfil Tarifario de Suiza y Liechtenstein en la OMC, se puede ver que el

arancel promedio aplicado a los productos agrícolas (NMF) es 30,8%; promedio que para Chile, y

pese al ALC, es de 29,2%. El contrapunto es que Chile aplica a las importaciones agrícolas (NMF) sólo un 6% parejo. Es decir, seguimos teniendo un atípico caso de trato especial y diferenciado inverso.

4.238. Seguimos, por lo mismo, alentando a Suiza y Liechtenstein a orientar en mayor medida al mercado sus políticas de producción y comercio en el sector agropecuario.

4.239. Para concluir, quisiéramos subrayar lo señalado en el informe de la Secretaría en cuanto a que Suiza y Liechtenstein siguen siendo firmes defensores de un sistema multilateral de comercio

basado en normas y, en tiempos difíciles para la economía mundial, propugnan una mayor liberalización del comercio. A nuestro juicio, estos son hoy principios fundamentales y por ello los destacamos.

4.240. Para este sexto Examen, Chile formuló 10 consultas cuyas respuestas agradecemos.

4.241. Deseamos a Suiza y Liechtenstein una exitosa revisión de su política comercial en este examen.

REPÚBLICA DOMINICANA

4.242. Las relaciones entre Suiza y República Dominicana se iniciaron hace aproximadamente 80 años, y desde entonces no han dejado de crecer y estrecharse. Suiza es el sexto destino en valor de las exportaciones totales de República Dominicana, alcanzando un total de 727.5 millones de dólares EE.UU. para el período 2010-2016. Asimismo, Suiza ocupa el sexto lugar en importancia, como origen de inversión extranjera directa para nuestro país.

4.243. Felicitamos a ambos países por el manejo de su economía, la cual como indica el informe

de la Secretaría, y a pesar de la crisis económica que ha afectado a todo el mundo desde el 2008,

es muy diversificada y avanzada, y ha salido airosa ante las perturbaciones causadas por los problemas económicos de la zona del euro y por la apreciación de su moneda el franco suizo, todo esto en base a la prudencia fiscal. La economía suiza ha seguido creciendo un promedio del 1,5% en el período 2013-2015, y la tasa de desempleo se ha mantenido relativamente baja (4,5%). Sin embargo, Suiza sigue teniendo desafíos importantes en relación a la competitividad, la fortaleza del franco suizo, los elevados precios internos, y la productividad.

4.244. El principal sector de la economía suiza es el de los servicios que representa cerca del 74% del PIB, pero también tiene una industria manufacturera sólida, que cuenta con alta tecnología y está orientada a la exportación y que representa aproximadamente el 19% del PIB. En el caso de Liechtenstein, el sector industrial es importante, representante el 41% del PIB y es seguido por los servicios financieros que representa el 25% del PIB.

4.245. Destacamos también como elemento positivo, el hecho de que Suiza ha sabido diversificar sus mercados de exportación, y a pesar de que la Unión Europea sigue siendo su principal

mercado de exportación e importación, también ha registrado un aumento significativo de las exportaciones a los Estados Unidos y a China. La industria química y farmacéutica es el mayor


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sector de exportación del país; en 2015 alcanzó unos 85.000 millones de francos suizos o más del 40% del total de las exportaciones de mercancías.

4.246. En cuanto al régimen comercial, tanto Suiza como Liechtenstein siguen teniendo un régimen de comercio en general abierto, y propugnan por una mayor liberalización del Comercio. En este sentido, saludamos la ratificación del Acuerdo de Facilitación de Comercio por ambos países.

4.247. Por otro lado, es de destacar el alto grado de protección del sector agrícola así como el hecho de que todos los aranceles aplicados son específicos, como dos elementos que se deben mejorar.

4.248. También, llama la atención el régimen de constitución de reservas obligatorias para determinados productos, a través de las contribuciones al fondo de garantía, el cual, junto a los

aranceles aplicados pueden llegar a exceder los compromisos consolidados de Suiza en varias

líneas arancelarias, lo cual debe ser tomado en cuenta y corregido.

4.249. Felicitamos a Suiza y a Liechtenstein por las reformas realizadas en los servicios bancarios al adoptar el intercambio automático de información en materia fiscal, con el fin de evitar el fraude fiscal y el blanqueo de dinero.

4.250. Hemos presentado varias preguntas a Suiza, en relación a los contingentes arancelarios y a ciertas medidas que afectan las importaciones, cuyas respuestas agradecemos. Finalmente, solo nos queda desearle a Suiza mucho éxito en este examen y en el futuro.

SINGAPORE

4.251. The connections between Singapore, Switzerland and Liechtenstein run deep. We are all small, open economies with limited natural resources, which are highly reliant on international

trade for our growth. Our approach to trade, openness and globalisation are similar. It is therefore not surprising that the Singapore-EFTA Free Trade Agreement which came into force in 2003 was the first FTA signed between EFTA and an Asian country. Last year, Switzerland was Singapore's 3rd largest European trading partner, and 4th largest source of FDI from Europe. Our bilateral

trade with Liechtenstein has also been on the upward trend,

4.252. During the period under review, both Switzerland and Liechtenstein have emerged as an oasis of stability and resilience amidst volatile global and regional developments. Despite the challenges, both economies have done well, and more importantly, maintained its progressive posture towards trade and liberalisation. We note with particular interest Switzerland's Growth Agenda 2016–2019, which is focused on tackling labour productivity growth, strengthening the

resilience of the economy, and improving resources and infrastructure productivity. We commend the Swiss Government for taking proactive steps to embrace these challenges, which we, too, face in Singapore. We would therefore be interested to learn from, and exchange ideas on how best to

address these structural issues as our economies mature.

4.253. We note also that the Growth Agenda comprises, amongst others, measures to open up the Swiss economy to imports to increase competition in the domestic market, and to enable the digital economy. In this regard, while we have absolutely no doubt about the tastiness and quality

of Swiss agriculture products, reducing the disparity between the average tariffs for agriculture products (30.8%) and that for non-agriculture products (2.3%) is one area which would benefit both the Swiss economy, and consumers alike. We also look forward to the implementation of measures such as the raising of de minimis thresholds for small consignments, which would spur the development of a more vibrant e-commerce landscape.

4.254. In today's environment of growing protectionism and cynicism towards trade, the WTO – and the world - needs more Members such as Switzerland and Liechtenstein who are strong

supporters, and defenders, of the rules-based multilateral trading system. Their faithful implementation WTO Agreements and commitments, including the Trade Facilitation Agreement

are commendable. On the plurilaterals, we thank Liechtenstein for its ratification of the revised GPA, and note that Switzerland is in the process of doing so; as is the case with the implementation of the expanded ITA.


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4.255. Finally, we would like to say a word about the important contributions of the Swiss delegation, in particular, to the work of the WTO. We are reminded week after week in Geneva the indispensable role played by the Swiss delegation – from the convening of the Friends of the System group, to the hosting of the annual Davos Informal WTO Ministerial Gathering, to the Chairing of the NAMA Negotiating Group, and not forgetting its critical contribution to the Ministerial Decision on Export Competition in Nairobi. We very much appreciate the facilitative,

problem-solving, and consensus-building role which generations of Swiss diplomats, including of course Ambassador Didier Chambovey and his very able team, have played in upholding, and advocating for the multilateral trading system. They are indeed very good and true friends of the System, and also of Singapore.

THAILAND

4.256. Switzerland and Liechtenstein continue to be important trade partners for Thailand. In

2016, Switzerland ranked as Thailand's 15th largest trading partner as bilateral trade grew by 28% from the previous year reaching a total trade value of approximately US$9 billion. The two way trade between the two countries is complementary with Thai exports consists of Gems and jewelleries, electrical machineries, and automobile, while major imports from Switzerland include Gems and jewelleries, clock and watches, machineries, and pharmaceutical products.

4.257. As for Liechtenstein, the bilateral trade grew by 4.2% in 2016 totalling US$154 million. Thailand's major exports to Liechtenstein consist of Gems and jewelleries, glass and glassware,

and processed meet. While imports include pharmaceutical products, electrical machineries, and medical instruments.

4.258. We are pleased to note strong economic fundamentals of Switzerland and Liechtenstein which resulted in upward economic growths since the last review. Thailand also commends the two countries for their continued efforts to improve their trade and investment environments.

4.259. For agriculture, although we are pleased to note that, in line with its MC10 commitments, the Swiss Government has initiated domestic procedures to eliminate export subsidies by

January 2019, we feel that further work can be done in Market Access for agriculture as the vast difference between average MFN tariffs on agricultural products and non-agricultural products remain high at 28.5 percentage points in 2016. The tariffs regime can also be improved with simplification of the tariffs system as all of Switzerland-Liechtenstein's applied tariffs continue to be expressed as specific rates and administration of the tariff quota system continues to be complex in nature.

4.260. In this review, Thailand submitted a few of questions to Switzerland, covering the policies and measures of our interests such as standards, privatization of STEs, and competition policies. We appreciate the prompt replies provided to our questions, for which we will study carefully with great interest.

4.261. In conclusion, Thailand would like to express its appreciation to the both the delegations of

Switzerland and Liechtenstein for today's presentation. We are thankful for the cooperation with both countries in every level, and wish them every success in their 5th joint Trade Policy Review.

JAPAN

4.262. It is a pleasure for Japan to take part in the TPR meeting for Switzerland and Liechtenstein.

4.263. Needless to say, Liechtenstein and Switzerland are two important political and economic partners for Japan. Japan is ready to make constant efforts to maintain and develop such good relationships.

4.264. According to the Swiss Government, the Swiss economy recovered from stagnation in the

latter half of 2016, supported mainly by domestic consumption. 1.7% of GDP growth rate in 2017

and 1.9% in 2018 are forecasted. Following the recovery of the economy, the unemployment rate is also expected to be at a very low level of 3.2% in 2017 and 3.1% in 2018. These results are due to the growth in domestic consumption, the steady increase in population and also the growth of


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exports of pharmaceutical, machinery, electronic equipment and metal industry. Japan evaluates them positively.

4.265. These strong economic indicators are based on the assumption that the Swiss franc will be stable. As mentioned in the Secretariat report, during the review period, the Swiss National Bank had been actively implementing a monetary policy including the well-known negative interest rate policy.

4.266. Let me make some comments on specific issues.

4.267. First, I would like to touch upon the ongoing pension reform. According to the announcement of the Swiss Government, the pension reform "AV 2020 pension reform package" has been discussed in the Swiss Federal Assembly and has been adopted in March. We have been informed that this reform proposal will be put to the national referendum in September. Said

reform includes rising the age of starting pension payment of women, reducing the pension

amount of corporate and welfare pension, maintaining the rate of value added tax rate, which appears to be primarily due to addressing the aging of the population. Japan faces similar challenges and has great interest in this reform. Japan would like Switzerland to explain how it was discussed at the Federal Assembly and the prospects for a referendum.

4.268. Second, some reports noted that the State Secretariat for Economic Affairs (SECO) is now preparing a report about robots for discussions in autumn. According to the reports, this report by the SECO will focus on the impact of digitization and automation on employment and the social

security system. Regarding technology substitution by Artificial Intelligence, we hope that Swiss Government proceeds with a calm discussion based on objective facts. Japan would like the Swiss Government to explain the current situation of the preparation of the SECO's report.

4.269. In conclusion, I would like to express our strong wish to continue cooperation among Liechtenstein, Switzerland and Japan.

4.270. We wish Liechtenstein and Switzerland every success in this Trade Policy Review.

REPUBLIC OF KOREA

4.271. Korea and Switzerland have developed a strong economic relationship since the establishment of diplomatic relations in 1963. Our economic relations have continued to deepen since the FTA between Korea and the EFTA came into force in 2006.

4.272. As a result, the volume of bilateral trade reached a record level in 2015, amounting to approximately US$4 billion. Korea is Switzerland's fifth-largest export market in Asia, while Switzerland is Korea's ninth-largest export destination as of 2015.

4.273. Korea's total stock of investment in Switzerland reached US$123 million in 2015.

Switzerland has substantially increased its investment in Korea, with the cumulative amount reaching US$2.5 billion. With regard to Lichtenstein, we are pleased to witness that our bilateral trade volume is steadily increasing, accounting for US$18 million in 2015.

4.274. From a trade policy perspective, as the Secretariat's report noted, there has been no drastic change during the review period.

4.275. The structure of the applied MFN tariff2 and the competition regimes of Switzerland and

Liechtenstein have changed little. Both countries remain generally open to foreign investment, and no specific trade concerns have been raised in the TBT and SPS Committees. It is also noteworthy that Switzerland and Liechtenstein do not have any specific anti-dumping, countervailing or safeguard legislation, and have never applied such measures.

2 The average applied MFN tariff was 9.0% in 2016, compared with a simple average of 9.2% in 2012.

MFN tariffs on agricultural products averaged 30.8% in 2016, while the average for non-agricultural products was 2.3%.


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4.276. As the Secretariat also noted, we appreciate that Switzerland and Liechtenstein have strongly supported the multilateral trading system. Both countries formally accepted the Trade Facilitation Agreement (TFA) in September 2015, and have participated in plurilateral agreements such as the expansion of the ITA and the revised GPA. In addition, Switzerland has submitted well over 100 notifications on a broad range of subjects, showing its commitment to implementing the WTO Agreements.

4.277. We commend Switzerland for playing a constructive role in the WTO negotiations. Switzerland has made great contributions to the negotiations by hosting the Informal WTO Ministerial Gathering during the annual World Economic Forum (WEF) in Davos. Furthermore, Ambassador Chambovey is making efforts to seek convergence in NAMA as Chair. He is also presiding over the Friends of the System (FoS) meeting, in which middle-grounders share their views and information on the ongoing negotiations. As a G10 coordinator, Switzerland continues

making endeavours to facilitate agricultural discussions.

4.278. We should take note as well that the Swiss Government has initiated domestic procedures to eliminate export subsidies by January 2019, in line with commitments made at the WTO Ministerial Conference in Nairobi. Despite these steps, as (the previous speakers and) the Secretariat's report noted, the agriculture sector in Switzerland remains vulnerable to a more competitive environment, highlighting the need for more market-oriented reforms.

4.279. Notwithstanding the strong performance of both countries, Korea must mention its concern

about Switzerland's visa programme. According to Korean companies doing business in Switzerland, they have experienced difficulties in relation to excessive administrative procedures of visa issuance and renewal for foreign nationals, which can function as a non-tariff barrier (NTB).

4.280. My delegation has submitted, albeit somewhat late, our written questions on this point. We look forward to receiving answers in due course.

4.281. Korea fully shares the view expressed in both Government reports that the multilateral trading system has to be strengthened. It is my sincere hope that we will seize the opportunity

afforded by MC11 to achieve deliverables and reinforce the system against the backdrop of rising protectionism. In this regard, we expect and trust that Switzerland and Liechtenstein will make a meaningful contribution to ensuring the success of MC11 in Buenos Aires.

4.282. With this, we would like to express our deep appreciation to the Swiss and Liechtenstein delegation for their hard work and wish them every success in this TPR.

TURKEY

4.283. There is no question that the Swiss economy has proven to be highly resilient especially in the aftermath of global economic and financial shocks.

4.284. Bearing in mind that Switzerland's biggest trading partner is the EU, its economic activity will also be determined to a great extent by the economic recovery in Europe, which remains to be fragile. The question for the period ahead will be to maintain this resiliency, something the EU and the OECD have put at the center of their discussions.

4.285. Strong Swiss franc, weak productivity growth and being high-priced economy remain as

important issues to tackle.

4.286. The EU is also Turkey's single biggest trading partner, something we have in common with Switzerland. We will be following the implementation of the New Growth Policy for the term 2016-2019, centered on the further opening to imports.

4.287. Turkey commends the commitment of Switzerland to the multilateral trading system and active participation in it. Turkey will also be closely following Switzerland in its efforts to support the 2030 Agenda for Sustainable Development.

4.288. The introduction of the Registered Exporter system (REX system) on 1 January 2017 is noteworthy as a trade facilitation measure for LDC's.


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4.289. We welcome that Switzerland hasn't been involved in any dispute settlement cases as a respondent during the period under review.

4.290. Turkey has a well-established framework for trade with Switzerland and Liechtenstein. Indeed, one of Turkey's first Free Trade Agreements was concluded with EFTA in 1991.

4.291. The Agreement covers industrial products, processed agricultural, fish and marine products, and complements Turkey-EU and Swiss-EU and EEA (for Liechtenstein) agreements.

Revision of parts of Turkey-EFTA FTA is underway, which we hope will stimulate more activity.

4.292. The "High-Level Consultation Mechanism" established in 2001 has proven to be functional. Its seventh meeting was in November 2017. It also brought the representatives of the private sector with the most trade activity. We find this platform highly useful and intend to utilize it as much as possible to address important trade related issues.

4.293. One expectation is the application of rules and regulations in product safety, quality and

standardization. Products under the FTA enjoy a smooth movement between the Parties.

4.294. However, for products not covered by the FTA, we continue to face difficulties that negatively impacts bilateral trade. For instance, high customs duties applied by Switzerland to a number of food products hinder market access for those products. The Swiss Agricultural Code has a similar effect as it discriminates between the imports of products that are produced in Switzerland and those that are not. It also sets up quotas for the import of seasonal products off season.

4.295. On the other hand, the difficulty of employing workers from non-EU and non-EFTA countries, Canton-based working quotas, visa application procedures, the high cost of domestic labour and services and the relatively conservative structure of the Swiss construction sector constitute deterrents for Turkish construction firms.

4.296. When it comes to trade flow, the volume of trade between Turkey and Switzerland has had ups and downs between US$5 and US$10 billion.

4.297. One of the reasons for this is the difference in the way Turkey and Switzerland register

gold. Gold has been a key component, which accounts over half of our trade. If we do not take that into account that numbers look steady. This is also true for other countries' balance sheets with Switzerland.

4.298. With respect to the trade policy regimes of Switzerland and Liechtenstein, Turkey submitted a number of written questions in advance, seeking further clarification on policy direction and approach. We look forward to receiving responses in due course.

INDIA

4.299. Switzerland is a high income country with strong institutions and good governance. Liechtenstein also is a small but wealthy country with a vibrant industrial sector, financial services industry and a diversified economy. During the period under review we note that, despite the challenging global environment the Swiss economy which is well diversified, continued to grow at an average rate of 1.5% between 2013-15 with a relatively low rate of unemployment. The current account of Switzerland also has been traditionally surplus and it is a key destination for foreign

direct investment. The key challenges for the Swiss economy include maintenance of competitive edge despite strong currency, high prices, weak productivity growth and complexity of relations with the EU. We commend the Swiss Government for the various measures and policies undertaken to further strengthen the economy and sustained efforts to preserve its competitive position. As part of the growth agenda, the Government is focussing on labour productivity growth, strengthening resilience of the economy and improving resources and infrastructure productivity.

4.300. During the period under review, the GDP of Liechtenstein which is essentially an export

oriented economy continues to grow with the rate of 3% in 2014. Despite its small size, Liechtenstein is amongst the highly industrialized countries with competitive strengths in high-tech niche products and financial services. While the challenges of Liechtenstein are also similar to the


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Swiss economy, we commend the Government of Liechtenstein for their measures to promote exports and employment.

4.301. India shares warm, friendly and close relations with both Switzerland and Liechtenstein. We have a broad framework in place for strengthening commercial relations between both countries. The bilateral trade between India and Switzerland stood at US$2.02 billion in 2015-16. The major items of trade between both countries include chemicals, pharmaceuticals, textiles,

transport equipment and machinery. Investments from Switzerland in India have also continued to grow steadily in areas like services, chemicals, food processing, etc. with the presence of major Swiss multinationals and stood cumulatively at US$3.57 billion in 2016. Indian companies are investing in Switzerland in the area of information technology, banking, finance and pharmaceuticals.

4.302. Recognizing the immense potential of our relations, India and EFTA have held several

rounds of negotiations for an Agreement on Trade and Economic Partnership. We hope for an early conclusion which would give further fillip to our trade and commercial ties with Switzerland and Liechtenstein.

4.303. To conclude, we look forward to working closely with the authorities of Switzerland and Liechtenstein for further expanding and harnessing the vast potential of our trade and investment ties for mutual benefit. We wish the delegations of Switzerland and Liechtenstein a productive and successful TPR.

PHILIPPINES

4.304. Switzerland and Liechtenstein are strong advocates of economic integration and trade liberalization. The close economic cooperation between the two countries is reflected in more than 100 bilateral treaties, the most important of them being the Customs Union Treaty and the Currency Union Treaty. Through these treaties, Switzerland is authorized to represent

Liechtenstein in relevant negotiations and to conclude such treaties with effect in Liechtenstein.

4.305. Over the years, both countries continue to negotiate and conclude bilateral and regional

preferential agreements that complement and support the multilateral trading system. Most of these free trade agreements are negotiated, concluded and administered in association with the other European Free Trade Association (EFTA) member States, namely Norway and Iceland.

4.306. The Philippines has successfully concluded the Free Trade Agreement with the EFTA in April 2016. This FTA seeks to provide greater market access and increase trade between the Philippines and the EFTA countries. The Philippines and the other parties to the Agreement expect

to complete the ratification process of the FTA within the year.

4.307. A Joint Economic Commission (JEC) was also established between the Philippines and Switzerland in June 2013. The first meeting of the Commission was held in July 2014. The

Philippines looks forward to hosting the 3rd JEC Meeting in November this year to further invigorate the Philippine-Swiss bilateral trade relations, and pave the way for closer economic cooperation in various areas of mutual interest. In 2016, Philippine exports to Switzerland increased by 54% and imports from Switzerland to the Philippines went up by more than 10%

compared to the previous year.

4.308. The Philippines appreciates Switzerland's support in the integration of developing countries into the global economy, particularly by strengthening the export capabilities of micro, small, and medium enterprises (MSMEs) to participate in international trade.

4.309. With the Philippine-EFTA FTA and the Philippine-Switzerland JEC, the Philippines looks forward to further enhancing the mutually beneficial economic relations with Switzerland and Liechtenstein.

4.310. In closing, the Philippines would like to congratulate Secretary of State Marie-Gabrielle

Ineichen-Fleisch and Ambassador Didier Chambovey of Switzerland, and Ambassador Peter Matt of Liechtenstein for their 5th joint trade policy review. Our appreciation also goes to H.E. David


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Walker of New Zealand for his insightful comments as discussant, and to the Secretariat for preparing a comprehensive report.

BURUNDI

4.311. Ma délégation note avec satisfaction que la Suisse et le Liechtenstein font partie des économies les plus intégrées au niveau mondial avec un système commercial international fort et fondé sur des règles malgré certaines difficultés économiques connues.

4.312. Ma délégation salue également la mise en œuvre par la Suisse de la politique agricole 2014-2017 dotée d'un nouveau cadre de politique qui prévoit principalement la refonte et l'ajustement précis du système de paiements directs pour améliorer son efficience et son efficacité avec les mesures d'accompagnement en vue de remédier aux contradictions avec les critères de la catégorie verte de l'OMC.

4.313. Cependant, le Burundi note que la part de l'agriculture dans le PIB suisse est marginale

(moins de 1%) et en baisse tandis qu'au Liechtenstein, la part de l'agriculture dans le PIB est négligeable, bien que les terres agricoles couvrent environ un tiers du territoire. En même temps, les deux pays partagent les défis d'avoir un marché intérieur de très petite taille.

4.314. La Suisse et le Liechtenstein accordent un traitement tarifaire préférentiel non réciproque aux marchandises originaires des pays bénéficiaires, tandis que tous les produits des PMA bénéficient d'un accès en franchise de droits et sans contingent.

4.315. Dans le même sens, la Suisse a conscience qu'il est impératif de développer le commerce

et d'améliorer son fonctionnement pour les pays en développement en particulier les PMA – et généralement pour le développement durable, conformément au Programme des Nations Unies à l'horizon 2030.

4.316. Le Burundi soutient que le développement du commerce est l'une des solutions multilatérales qui banniraient les discriminations entre les pays et qui créeraient des possibilités d'intégrer le système commercial multilatéral de tous les Membres.

4.317. Ma délégation note que la Suisse et le Liechtenstein appliquent un certain nombre de

prohibitions et de restrictions à l'importation et à l'exportation, principalement pour des raisons de sécurité, de santé, de protection de la propriété intellectuelle et de protection de l'environnement, ou pour garantir le respect des obligations internationales.

4.318. Dans cette perspective, ma délégation soutient que la Suisse veille à ce que ces mesures ne constituent pas des obstacles non nécessaires au commerce.

4.319. Pour terminer, le Burundi félicite les deux pays sous examen pour leur engagement à

participer au renforcement du système commercial multilatéral, à travers la ratification de l'Accord

sur la facilitation des échanges, la mise sur pied par la Suisse d'un comité national de la facilitation des échanges ainsi que les notifications à l'OMC.

4.320. En même temps, ma délégation félicite la Suisse pour avoir engagé des procédures internes en vue d'éliminer ces subventions à l'exportation d'ici 2019, conformément aux engagements pris à la conférence ministérielle de l'OMC de Nairobi.

4.321. Ma délégation se réjouira de voir la Suisse accélérer les conclusions des procédures

d'approbation de l'accord sur le marché public, au niveau fédéral et cantonal, afin de déposer son instrument de ratification.

4.322. Le Burundi souhaite plein succès à la Suisse et au Liechtenstein à l'occasion de leur 5ème Examen des politiques commerciales.

VIET NAM

4.323. Switzerland and Liechtenstein are among the wealthiest countries in the world and rank high on quality of life indices. Switzerland has also been recognized as the most competitive


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economy in the world in 2016 by the World Economic Forum for the seventh consecutive year. It leads the world in its capacity to innovate and scores highly for its education system and labour market efficiency.

4.324. Viet Nam has been enjoying stable trading relations with Switzerland and Liechtenstein. Development will continue to be an important dimension of the Viet Nam-Switzerland cooperation strategy for the period of 2017-2020, in which Switzerland is going to provide ODA for Viet Nam to

implement joint projects supporting the promotion of institution and economic policies, assisting the building of competitive and effective private economic sector, and helping the sustainable urban development and climate change response.

4.325. Viet Nam, Switzerland and Liechtenstein are actively taking part in the negotiations of the Viet Nam–EFTA free trade agreement, which aims at further liberalization of trade and investment among the partners in order to unleash the potential for future cooperation. We hope that the two

sides will reach a balanced outcome in the near future, taking into account the different levels of economic development between the two parties.

4.326. Viet Nam would also like to highlight the importance which Switzerland and Liechtenstein place on an active participation in the multilateral trading system. I would like to acknowledge the constructive role Switzerland plays in various negotiations groups within the WTO, which demonstrates the commitment of Switzerland and Liechtenstein in supporting the multilateral trading system.

4.327. Viet Nam wishes to commend Switzerland and Liechtenstein on their economic performance in the aftermath of the global economic crisis, and for their good standings amongst the most competitive and innovative economies in the world. We also commend their generally open trade regimes, strong support for expanding global trade. We look forward to enhancing the Viet Nam – Switzerland and Liechtenstein connectivity even further in the years to come.

4.328. We wish Switzerland and Liechtenstein a successful trade policy review.

NEPAL

4.329. The consistent position taken by Switzerland as a staunch supporter of the multilateral trading system, coupled by liberal trade and investment policies, are appreciable. We commend the positive role played by Switzerland over the years in DDA negotiations, support for Aid for Trade initiatives, provisions for DFQF market access, simplified rules of origin and notification of services waiver for LDCs.

4.330. The support extended to LDCs through EIF tier II programme, and trade facilitation

support programme in cooperation with World Bank are also mention-worthy. As trade plays a crucial role in economic growth, sustainable development, job creation and poverty reduction and can be an important tool for realization of Agenda 2030 for Sustainable Development, Switzerland

could play an exemplary role by lowering technical barriers to trade to the products of LDCs.

4.331. Nepal is a longstanding beneficiary of Swiss aid and technical cooperation, which has made significant good impact on our socio-economic life. In line with the excellent bilateral cooperation, we want to attract more Swiss investment in trade-enhancing industrial ventures. Given similar

geographic situation of high mountainous landlocked terrains, some of the landmark successes achieved by Switzerland in the areas of value chains development and servicification of trade draw our attention to take lessons for shaping our own future in the multilateral trading system. Harnessing renewable energy, especially hydropower, and rich biodiversity products and tourism potentials through value chains development are among our priority in which we could work together.

4.332. To conclude, the delegation of Nepal once again commends the role played by Switzerland

in advancing the rules-based open and fair multilateral trading system, and its favourable disposition to LDC agenda. I wish a successful trade policy review of Switzerland.


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MONTENEGRO

4.333. Montenegro would like to associate itself with the statement of the European Union.

4.334. Montenegro congratulates Switzerland and Liechtenstein for being stable and important pillars of the EFTA and the role models of vibrant, innovative and advanced economies in the heart of Europe. We commend Switzerland for showing resilience against the headwinds from the economic challenges including consolidation of its financial position after departure from the

minimum currency peg to the euro and the strong Swiss franc, and on ensuring that the economy grew by modest but steady 1.5% on average in 2013-2015, accompanied by a relatively low unemployment rate of 4.5%. Montenegro similarly commends Lichtenstein for a strong economic performance during the challenging times. Against the backdrop of economic parameters during the sluggish economic results in the neighbouring economies, such trends are very impressive.

4.335. Montenegro observes that Liechtenstein has a diverse economy, which is based on a

comparatively large industrial section and the financial services industry (about 41% and 25% of GDP respectively); and most sectors are open to national and foreign investment (subject to residency requirements), except for restrictions on: the purchase of real estate, production, trade and transport of electricity, gas and water.

4.336. Montenegro equally observes that Switzerland remains among the top destinations for foreign direct investments; and that economic sectors are open to investment, including by foreigners. While investment restrictions continue to apply to activities under state monopolies,

including certain rail transport services and telecommunication, Montenegro is pleased to see that foreign investment is an important aspect of the Swiss and Liechtenstein economies.

4.337. Of particular interest to Montenegro is the importance that Liechtenstein attaches to the WTO and the rules based multilateral trading system, as well as Switzerland's commitment to the WTO. We would like to congratulate Switzerland and Liechtenstein for the ratification of the Trade

Facilitation Agreement and we equally recognize their successful participation in the plurilateral ITA II and GPA. We are looking forward to Switzerland's final ratification of the revised GPA soon.

Montenegro is firmly committed to the WTO and the multilateral trading system and looks forward to further cooperating with Switzerland and Liechtenstein as we approach the MC11. In addition, we value the EEA/EFTA deep cooperation based on 25 free trade agreements in force with 35 partners outside the European Union in which both Liechtenstein and Switzerland participate.

4.338. On the bilateral side, Montenegro has strong and sound relationships with both countries strengthened by the agreement within the EFTA as an important cooperation framework that

entered into force in 2012 with political and diplomatic contacts at all levels. The first review of the implementation of the agreement was held in 2014 proving our mutual commitment, economic cooperation and reliable partnership. We want to use this opportunity to extend our interest for the next second review and to thank Liechtenstein for being our contact country and for further consideration of this request in the upcoming months. In addition, we are pleased to report that the Investment promotion agreement signed between Switzerland and Montenegro has resulted in

significant increase of the FDI originating from Switzerland. This includes the 12 years investment

project to be implemented in 3 phases in one of the top tourist destination in Montenegro projected in the amount of €1.1 billion. In addition, total FDI since 2007 from Switzerland amounted for over €480 million. Montenegro is eager to expand the economic cooperation with both markets, to learn from the specific opportunities arise from Liechtenstein's identity as a small State and the innovative capacity of Switzerland. We will continue to appreciate both countries' valuable contribution to the international community and sustainable trade and development.

4.339. Finally, Montenegro is looking forward to continuing excellent and constructive

engagement with both Switzerland and Lichtenstein Missions in Geneva. I express our deep appreciation to Ambassador Chambovey and Ambassador Matt for their contribution to the work of the WTO and for the continuous support to my delegation. We wish both States every success in their fifth joint Trade Policy Review.


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SRI LANKA

4.340. My delegation notes with interest the economic achievements of Switzerland and Liechtenstein by maintaining an average economic growth of 1.5% during the period of 2013-15 with the relative low unemployment rate despite many economic impediments in the region, and in particular in the euro zone. Strong industrial sector complemented by financial and other services of Switzerland have contributed significantly for a stable economy, despite its own limited

domestic market.

4.341. Both Switzerland and Liechtenstein's commitments to a rules-based multilateral trading system are commendable. They have contributed effectively to WTO TBT, SPS and TRIPS measures, Trade Facilitation Agreement, expansion of the Information Technology Agreement (ITA II), and both countries have not been involved in any dispute settlement cases as a complainant or respondent during the period of review. Further, we noted Liechtenstein became

the first WTO Member to ratify the revised plurilateral Agreement on Government Procurement in 2013, while Switzerland also intends to ratify the revised GPA. We appreciate the initiations taken by Switzerland and Liechtenstein to eliminate the agriculture export subsidies.

4.342. It is also interesting to note that the high degree of predictability in Switzerland-Liechtenstein's import tariff structure. In 2016, the average applied MFN tariff was 9.0% compared with a simple average of 9.2% in 2012. MFN tariffs on agricultural products averaged 30.8% in 2016, while the average for non-agricultural products was 2.3%. The Energy

Strategy 2050 with increased emphasized on renewable energy is another notable directive of the Swiss Government.

4.343. Let me briefly reflect on the bilateral trade relations between two countries. The total trade turnover which stood at US$229.2 million in 2015 between two countries has increased to US$376.6 million in 2016 registering the significant increase by 64%. Switzerland is the 21st largest market destination for Sri Lankan products and the 25th largest supplier to Sri Lanka.

Export of Electronic machinery and equipment and parts has become dominant and accounted for

43% of Sri Lankan exports to Switzerland in 2016 followed by Diamonds and Gems. Gold is the top most importing item to Sri Lanka from Switzerland over the recent years and which accounted for 50% of total imports in 2016 followed by pharmaceuticals. Sri Lanka has been a beneficiary from the Switzerland GSP scheme and it has facilitated Sri Lanka to strength in its market positions in Switzerland.

4.344. More than 26 Swiss companies including Nestle, Holcim & Baur's are currently operating in

Sri Lanka. The latest conglomerate to add to this directory is Hotel Movenpick which was opened a week ago in the heart of the capital Colombo.

4.345. In the multilateral front, my delegation appreciates Switzerland's contribution to the multilateral trading system and its active engagement in the negotiations in the WTO. We appreciate the dynamic role played by Ambassador Didier and his team in proactively engaging in ongoing activities of WTO is highly commendable.

4.346. In concluding, my delegation sincerely wishes Switzerland and Liechtenstein delegations a

successful deliberation on their fifth joint Trade Policy Review.

ALBANIA

4.347. The Switzerland economy has shown resilience against the headwinds from the economic problems in Europe and in the World which has continued to grow by 1.5% on average in 2013-15, and with low unemployment. This advanced and performed economy managed with fiscal prudence is also the outcome of good governance with a direct democracy system in the country which constitutes a model for many economies in the World. The same assessment goes to

Liechtenstein economy which is based on a comparatively large industrial sector and the financial services industry as well as highly export-oriented.

4.348. This is why the 5th Swiss and Liechtenstein TPR has great interests among members to further learn from their trade policy achievements, their engagements in the World trade affairs in particular their role in the ongoing negotiations in many issues that our Organization is facing with.


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4.349. Albania echoes Switzerland and Liechtenstein foreign trade policy which seeks to promote economic growth, increasing trade in goods and services and transfer of technology in the world. Both Government delegations in WTO are actively engaged in multilateral negotiations, as well as in regional or plurilateral settings.

4.350. It is to mention here some of the WTO agreements and the active participation of Switzerland and Liechtenstein like:

1. both formally they accepted the Trade Facilitation Agreement in September 2015;

2. the tariff reductions resulting from the expansion Information Technology Agreement (ITA II) are being implemented; and more

3. Liechtenstein became the first WTO Member to ratify the revised plurilateral Agreement on

Government Procurement, while Switzerland intends to ratify this agreement in parallel with ongoing reforms aimed at harmonizing its procurement regime at the federal and cantonal

levels.

4.351. In any WTO negotiation, It is important the transparency principle as one of the basic negotiating principles. Switzerland and Liechtenstein, by submitting over 100 notifications on a broad range of subjects, they are the best example respecting broadly this principle and, consequently, they are not involved in any dispute settlement cases as a complainant or respondent during the period under review.

4.352. Bilaterally, Albania and Switzerland have assessed the bilateral relations as priority and

strategic importance, and both countries have established a long term partnership in particular in economic, trade and technical and financial assistance. For example, Swiss governmental assistance by SDC and SECO programmes for 2014-2017 reached SwF 88 million which is the higher compared with other Western Balkans countries.

4.353. These contributions and assistance along with the encouragement of the business community in investment and trade are welcome and very much appreciated by Albanian government which is a direct contribution to further economic and social development in the

country as well as to the democratic stabilization process in the region.

4.354. With Liechtenstein, the relations started more than two decades ago with humanitarian aids, and there are potentials of development in the area of trade and investments.

4.355. Finally, we welcome and appreciate the commitments of Switzerland and Liechtenstein to the multilateral trading system because we think the strong engagement of the important trading players is essential to advance negotiations in multilateral trading System. In addition, Albania will

continue to be engaged with the Switzerland and Liechtenstein delegations and other Members' delegations to implement the post-Nairobi work programme, and to get tangible outcomes in

upcoming MC11 in Argentina in December 2017.

4.356. As conclusion, Albania wishes to Switzerland and Liechtenstein a successful and productive TPR.

BÉNIN

4.357. La délégation du Bénin s'associe à la déclaration faite par le Cambodge au nom du Groupe

des Pays les moins avancés (PMA).

4.358. La délégation du Bénin salue les efforts déployés par la Suisse et le Liechtenstein depuis leurs derniers Examens en 2013.

4.359. Ouvertes, innovantes, compétitives et tournées vers l'exportation, les économies de la Suisse et du Liechtenstein offrent des modèles de succès, à maints égards, soutenues par des

infrastructures de grande qualité basés sur l'innovation, la recherche, le développement et les technologies de pointe, des services professionnels de niveau élevé et des services financiers

structurés et diversifiés.


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4.360. Elles ont également une grande capacité d'adaptation aux besoins et exigences des marchés, ce qui n'est pas un moindre avantage, tout au contraire. Le lien fonctionnel établi entre économie et environnement en est une illustration parfaite.

4.361. La Suisse est un acteur majeur de la défense du Système commercial multilatéral. Elle l'a démontré à travers ses contributions constructives aux travaux de négociations multilatérales commerciales, visant à ajouter des résultats dans le cadre du Cycle commercial de Doha. La

ratification, en septembre 2016, de l'Accord de l'OMC sur la Facilitation des échanges en est une preuve manifeste. Dans le cadre de l'intégration des Pays les moins avancés (PMA) dans le Système commercial multilatéral, elle apporte également de précieuses contributions financières au Budget du programme du Cadre intégré renforcé (CIR), notamment à sa deuxième phase.

4.362. Il convient de souligner également les bonnes pratiques de la Suisse en faveur de la promotion du commerce dans le cadre de l'Aide pour le commerce et du renforcement des

capacités de production et d'exportation des PME.

4.363. La délégation du Bénin remercie la Suisse pour l'assistance précieuse qu'elle lui apporte dans la réalisation de projets et programmes économiques et sociaux, spécifiquement dans le domaine de l'éducation, le développement agricole et rural, de promotion de la sécurité alimentaire, de construction d'infrastructures socio-sanitaires et éducatives, de la promotion du genre et de la culture béninoise, toutes initiatives qui contribuent à lutter contre la pauvreté et soutenir la réalisation des Objectifs de développement durable à l'Horizon 2030.

4.364. Au titre du renforcement des capacités productives et d'exportation du coton et de ses produits dérivés, la délégation du Bénin souhaiterait bénéficier de l'accompagnement de la Suisse et du Liechtenstein, ainsi que des autres partenaires bilatéraux, régionaux et multilatéraux, pour la mise en œuvre du Programme route du coton qui offre un potentiel important de développement des chaînes de valeur, de création d'emplois et de lutte contre la pauvreté dans les pays du C-4, et au-delà dans les autres Pays les moins avancés et en développement appartenant aux mêmes

régions que les pays du C-4.

4.365. La délégation du Bénin salue la poursuite par le Liechtenstein de la politique d'ouverture économique et commerciale qu'il mène, particulièrement dans les secteurs de l'industrie et des services.

4.366. Tout comme la Suisse, le Liechtenstein est un acteur engagé dans la promotion et la défense du Système commercial multilatéral.

4.367. La délégation du Bénin félicite les Ambassadeurs Didier Chambovey et Peter Matt, et leurs

équipes pour leurs engagements dans les travaux de négociations commerciales multilatérales, et pour les interactions constructives qu'ils font avec les autres délégations, en particulier celles des PMA.

4.368. Elle remercie le Secrétariat de l'OMC et les Gouvernements de la Suisse et du Liechtenstein pour les Rapports très informatifs élaborés dans le cadre de la présente session d'Examen des politiques commerciales des pays.

4.369. Elle souhaite plein succès à la Suisse et au Liechtenstein, et un examen réussi de leurs

politiques commerciales.

CAMBODIA ON BEHALF OF THE LDC GROUP

4.370. Switzerland and Liechtenstein are among the most integrated countries in the world, due both to their geographical location and to their economic policy choices.

4.371. We note that the integration of both countries into the world economy depends mainly on their trade with the EU. In the case of Switzerland, in particular, the level of exports to the EU, in 2015, was 54% of total exports, while imports from the EU were representing 72% of total

imports.


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4.372. In the context of trade relations with the LDCs, the report of the Secretariat indicates that the products imported by both countries from LDCs reached to 8.4% of the total imports, in 2015. This rate has grown gradually since 2012, as the level of imports from LDCs was at 5.4% of the total imports.

4.373. The export level from the LDCs to both countries is positive and has been achieved although it is still relatively low. We thank to the preferences scheme for LDCs. LDCs benefit from

duty-free and quota-free market access for both countries, for 100% of agricultural and non-agricultural products.

4.374. However, significant progress remains to be made in order for LDCs to be able to export more to them, given that the rate of use of preferences granted was 51%, in 2015, according to the Secretariat report. Thus, only half of the potential of GSP is realized.

4.375. The adoption of an electronic system for the registration of exporters (REX system) is one

of recent initiatives taken by Switzerland and Liechtenstein, this can contribute to the export potential of LDCs. As part of the implementation of the Nairobi Decision on preferential rules of origin for LDCs, this system allows LDC exporters a self-certification of the origin in order to benefit from the Swiss GSP since 1 January 2017. On the other hand, the system is designed to significantly reduce the administrative burden of documentary and procedural requirements for LDCs.

4.376. This initiative appears to be modern and effective in facilitating access to the markets of

Switzerland and Liechtenstein. However, we would like the Members to re-consider the mandatory requirement for the registration of exporters by electronic means, as many LDCs have problems with the existence of electronic infrastructures, not to mention training requirements, which we hope can be provided for LDCs.

4.377. We welcome the adoption by the Federal Council of Switzerland, on 1 April 2016, of an

Ordinance that terminates export subsidies on products for LDCs, in accordance with the Nairobi Decision.

4.378. LDCs also welcome the fact that Switzerland has notified its preferential treatment for services and service suppliers of LDCs. We applaud Switzerland for introduced preferences beyond Article XVI measures as well. We hope that Switzerland can provide further assistance in line with paragraph 1.5 of the Nairobi Decision to help implement the preferences provided in their notification so that LDC suppliers on the ground can appreciate the good news about the notifications.

4.379. Switzerland is a privileged partner with whom LDCs wish to further develop trade relations. The LDCs appreciate Switzerland's support for the initiative "Aid for Trade" and its commitment to phase II of the EIF. We rely heavily on Switzerland and Liechtenstein to maintain their visions of enhancing trade capacities of developing countries, especially LDCs.

4.380. Finally, we would like to express our appreciation to Switzerland and Liechtenstein, in particular to Ambassador Didier Chambovey and his delegation for their constructive engagement with our delegations here in Geneva. The LDCs wish both countries a successful of their trade

policy review.

KYRGYZ REPUBLIC

4.381. Switzerland and Liechtenstein are the most stable and resilient trading Members of the WTO. They continue to be strong supporters of a rules-based multilateral trading system, making successful steps on the WTO platform by accepting and acceding to numerous agreements on trade facilitation and promotion. The two countries have worldwide trade network and vividly demonstrate the promotion of high quality and high-technology production all over the countries.

4.382. Switzerland continues to be one of the strategic partners of Kyrgyzstan both bilaterally and

within the framework of international organizations and institutions. The areas of cooperation differ from trade capacity building and fostering economic development of Kyrgyzstan to strengthening governmental institutions and promoting rule of law. It is worth mentioning that Switzerland is one


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of the main donors and assist partners of Kyrgyzstan and it participates in implementation of several national programmes and development strategies in my country, to which we are very much thankful to Swiss colleagues.

4.383. Switzerland remains one of the main export destinations of the Kyrgyz Republic as well. Trade between the two countries within recent years has risen to some extent from percentage point of view. While export from Kyrgyzstan to Switzerland mainly includes golden and silver bars

and coins, we do import from Switzerland chemical and pharmaceutical products, equipment and electric devices, watches and jewellery, paper and foodstuff.

4.384. The Intergovernmental Commission on Trade and Economic Cooperation existing between Kyrgyzstan and Switzerland serves as another tool to deepen cooperation between the two countries. The primary purpose of establishing this Commission was precisely to establish and strengthen ties between business communities of both sides, development of business links and

fostering trade and investment cooperation between the two.

4.385. Meanwhile, the economic and trade relations between Kyrgyzstan and Liechtenstein unfortunately are not of satisfactory level so far and we do hope for further expansion and deepening of those. We are particularly interested in attracting Liechtenstein's direct investments to the economy of the Kyrgyz Republic and would also like resumption of project activities of the Liechtenstein Development Agency in Kyrgyzstan.

4.386. In conclusion, we would like to wish the delegations of Switzerland and Liechtenstein a

very successful Trade Policy Review.

OMAN

4.387. Oman enjoys excellent trade relations with Switzerland and Liechtenstein who are important trading partners of Oman. We expect our bilateral trade to expand, given the Free Trade

Agreement between GCC and EFTA states.

4.388. Switzerland is a highly developed and diverse economy. It has an open and liberal economy which has demonstrated resilience in the face of difficult global economic conditions,

having secured an average growth rate of 1.5% during the period 2013-2015. One indication of the success of the Swiss economy is its unemployment rate, which compares very favourably with other developed countries. According to the Secretariat report, the unemployment rate is about 4.5% while many other developed economies have rates ranging between 7% to 10%. This is a tribute to the policy decision makers and managers of the Swiss economy.

4.389. Switzerland's foreign trade regime is very liberal for non-agricultural goods for which the

applied tariffs are very low, 2.3% on average. However, in respect of agricultural products, the Swiss trade regime is quite restrictive, as it is highly protected by both tariffs and non-tariff measures. We are pleased to note that Switzerland and Liechtenstein are staunch supporters of

the WTO and the multilateral trading system.

4.390. To conclude, the delegation of Oman wishes Switzerland and Liechtenstein a very successful trade policy review.

PERÚ

4.391. Si bien el Perú no ha realizado preguntas para este examen, deseamos aprovechar esta ocasión para expresar nuestro reconocimiento por la solidez y alto grado de desarrollo de las economías de Liechtenstein y Suiza, que se han mantenido sobre el período examinado gracias a empresas modernas y tornadas hacia la competitividad, sistemas educativos muy avanzados y un alto grado de integración económica a nivel internacional. En este sentido, estamos complacidos de nuestros lazos con ambos países, particularmente en el ámbito comercial, en donde contamos con un Acuerdo de Libre Comercio entre Perú y los Estados de la Asociación Europea de Libre

Comercio, en vigor desde el 1° de julio de 2011, el cual ha sido un factor importante para que la

suma anual de nuestros intercambios con ambos Miembros examinados se mantenga por encima de los 2 800 millones de dólares EE.UU. en el período objeto de este examen. Asimismo, contamos con un acuerdo bilateral sobre agricultura con Suiza, que ha permitido el desarrollo de nuestras


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exportaciones no tradicionales agrícolas, en fomento de nuestra industria asociada a este sector. Deseamos continuar explorando opciones para fomentar nuestras exportaciones no tradicionales con ambos Miembros examinados el día de hoy.

4.392. De igual manera, queremos destacar la importancia de las actividades de ambos Miembros en el seno de la OMC y en las discusiones y negociaciones paralelas a esta Organización, en donde siempre aportan un enfoque muy concreto y práctico. Fuera de la OMC, somos socios en la

iniciativa para concluir el Acuerdo sobre el Comercio de Servicios "TISA", por sus siglas en inglés, para el cual deseamos una próxima conclusión favorable.

4.393. Por último, deseamos a Suiza y Liechtenstein un exitoso quinto examen de sus políticas comerciales.

RUSSIAN FEDERATION

4.394. Russia enjoys a long tradition of friendly relations with Switzerland and Liechtenstein,

which provide a good foundation for our trade and investment cooperation. Both countries are relatively small landlocked nations that have built robust and open economies and enjoy today one of the highest living standards in the world. We commend their staunch support for the open trade and the multilateral trading system and are glad to work closely within the WTO framework.

4.395. Switzerland and Liechtenstein are home to some of the most sophisticated technological enterprises in the world, including in the field of electronics, manufacturing of optical and medical equipment, pharmaceuticals and chemical industry products. These lines constitute a major part of

Swiss exports to Russia. Our country, on the other hand, exports metals, chemical products, including high-tech chemicals, nuclear fuel, minerals and agriculture products, which reflects complementary nature of our economies.

4.396. Bilateral trade between Russia and the Members under review grows steadily. In 2016,

Russia's export to these countries amounted to US$3 billion 109 million, while import reached US$1 billion 952 million. In total, our trade turnover has expanded by 9.4% last year.

4.397. We are pleased to note mutually beneficial investment cooperation between Russian and

Switzerland. In total, more than 600 companies with the participation of Swiss capital are registered in Russia. Among the most known of them are Nestlé, Asea Brown Bovery and Schindler.

4.398. In order to further expand our economic relations and promote practical contacts between our businesses, a Russia-Switzerland Joint Intergovernmental Commission on Trade and Economic Cooperation was established in 1998. We are pleased to note that recently, both parties pay higher

attention to developing regional cooperation and ties between medium and small enterprises.

4.399. We have not submitted written questions to date. We are satisfied with our bilateral

contacts that proved to be useful for clarifying certain aspects of our partners' trade policy. We look forward to continue fruitful discussions on a bilateral level, as well as here in Geneva.

4.400. In conclusion, we would like to thank the delegations of Switzerland and Liechtenstein, the Secretariat and, of course, our esteemed discussant, for their hard work in preparing this exercise. We wish both Members a successful Trade Policy Review.

HONDURAS

4.401. Suiza y Honduras mantienen unas excelentes relaciones las cuales se han consolidado a lo largo del tiempo mediante la firma de acuerdos en áreas tales como la cooperación técnica, la promoción y la protección de inversiones y la exención de visados entre otros.

4.402. Suiza participa activamente en la cooperación para el desarrollo y la ayuda humanitaria en nuestro país a través de diversos proyectos de la Agencia Suiza para el Desarrollo y la Cooperación

(COSUDE) y prueba de ello es que nuestro país ha sido uno de los países prioritarios de la

recepción de cooperación desde 1978, con apoyo enfocado en tres áreas principales, como ser la


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promoción de las micro, pequeña y mediana empresas (PYME), la gobernanza y el presupuesto nacional y la infraestructura y los servicios públicos locales, en particular agua potable y energía.

4.403. En el marco de sus puntos temáticos prioritarios, la COSUDE apoya también iniciativas regionales y se estima que para el periodo 2013-2017 el presupuesto planificado será de 210 millones de dólares EE.UU. aproximadamente, lo que representa la confirmación del compromiso del Gobierno suizo de cooperar con los países de la región centroamericana en sus

esfuerzos por reducir la pobreza y promover un desarrollo más equitativo.

4.404. En ese sentido, quisiéramos agradecer y destacar que con apoyo de la Agencia Suiza para el Desarrollo y la Cooperación (COSUDE), la Universidad hondureña el ZAMORANO implementó el proyecto Fortalecimiento de la Gestión Ambiental en Adaptación al Cambio Climático (ACC) y Reducción de Riesgos de Desastres (RRD).

4.405. Al mismo tiempo, vale la pena destacar que con el financiamiento de COSUDE se

estableció la cadena de valor del cacao en Honduras y en los próximos días, con el financiamiento del COSUDE se llevara a cabo el primer censo nacional de productores y productoras de cacao de Honduras.

4.406. Tal como lo destaca el informe de la Secretaría, aún están pendientes las negociaciones para lograr la participación de Honduras en el Acuerdo de Libre Comercio Centroamérica y la Zona EFTA. A pesar de esto, el comercio bilateral registró exportaciones de Honduras por alrededor de 4 millones de dólares EE.UU. en café, té, yerba mate, especias, cacao y sus preparaciones, tabaco

y sucedáneos del tabaco elaborados y se importó de Suiza alrededor de 25 millones de dólares EE.UU. en productos farmacéuticos, máquinas, aparatos y artefactos mecánicos, reactores nucleares e instrumentos y aparatos de óptica, entre otros.

4.407. En lo que respecta a los informes presentados, notamos con agrado que Suiza y Liechtenstein siguen siendo firmes defensores de un sistema multilateral de comercio basado en

normas y ambos países gozan de una buena gobernanza, con un sistema de democracia directa y la gestión de sus economías se fundamenta en la prudencia fiscal.

4.408. En el caso de Suiza, destacamos en el período 2013-2015, su tasa de crecimiento promedio fue del 1,5%, y la tasa de desempleo se mantuvo relativamente baja y Liechtenstein mantiene una economía diversificada basada en un sector industrial relativamente amplio y con un sector de servicios financieros muy competitivo gracias a los productos especializados y a reformas normativas en el sector de los servicios financieros.

4.409. Desde el primer trimestre de 2015, la economía suiza ha registrado tasas de crecimiento

trimestral modestas y la cuenta corriente de Suiza suele arrojar superávits, sumado a que continúa siendo uno de los principales destinos de la inversión extranjera directa y uno de los elementos centrales de la actual política de crecimiento del Gobierno de Suiza es una mayor apertura de la economía a las importaciones con el fin de fomentar la competencia de los precios y estimular la productividad.

4.410. Destacamos las reformas suizas sobre una nueva legislación que está basada en la "Estrategia de Energía 2050" y prevé, entre otras cosas, un mayor apoyo a la energía renovable y

el cierre progresivo de las centrales nucleares. Al mismo tiempo, resaltamos la reforma integral del régimen suizo de inocuidad alimentaria, la legislación sobre valores y mercados de capital y las reformas de las pensiones de 2020.

4.411. Identificamos que Liechtenstein ha seguido incorporando la legislación financiera y contra el blanqueo de capitales de la UE a través de los mecanismos del EEE, y de manera unilateral en el caso del primer paquete legislativo sobre organismos de supervisión financiera.

4.412. Destacamos que ambos países cuentan con instituciones y políticas altamente

desarrolladas y sofisticadas en materia de propiedad intelectual, y en el caso de Liechtenstein, los datos muestran un aumento de las solicitudes tramitadas por residentes, especialmente en la

esfera de las concesiones de marcas de fábrica o de comercio y patentes.


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4.413. Finalmente, Honduras felicita a Suiza y a Liechtenstein por sus importantes esfuerzos y logros durante el período de examen y les deseamos el mayor de los éxitos en la presentación de su quinto Examen de políticas comerciales.

INDONESIA

4.414. We are pleased to have this opportunity to be directly engaged with two of our EFTA partners. Together with Norway and Iceland, Indonesia has recently completed another round of

negotiations towards a comprehensive economic partnership agreement with Switzerland and Liechtenstein.

4.415. Indonesia commends Switzerland for constantly increasing its resilient and mitigation of negative effects to economic shocks. We praise the success of Switzerland in diversifying its economy; in having in place a flexible labour market and sound infrastructures; in increasing

productivity of its inwards-oriented sectors; and in its deep integration in the global value chains.

4.416. In the four years between 2012 and 2016, bilateral trade flows between Indonesia and Switzerland demonstrated an upward trend of 48.27%, with trade value reaching a five-year high of US$2.9 billion in 2016. The increasing trend of both export and import components of our bilateral trade balance indicates an ample room for further improvement in our bilateral trade performance. And this shall be amongst the basis for Indonesia and Switzerland to work together in strengthening the multilateral trading system.

4.417. Indonesia commends Liechtenstein for its high degree of economic integration into the

regional and global value chain, with an economic regime characterized by fast administrative channels and a low-level of bureaucracy.

4.418. We are aware of the very limited domestic market in Liechtenstein. And hence, amongst the foreign economic policies of Liechtenstein, is to embark on joining a network of free trade

agreements, including with Indonesia through the EFTA.

4.419. We are happy to see that Liechtenstein has benefitted from our bilateral trade relationship. Export to Indonesia from Liechtenstein has steadily been increasing. Between 2015 and 2016

alone, our bilateral trade increased by over 90% from the previous year. And between the same 2015 and 2016, a very significant increase accrued in both exports of Indonesia into Liechtenstein, as well as exports from Liechtenstein to the Indonesian market.

4.420. Again, Indonesia sees this encouraging trend as a sign of untapped trade potential between our two countries. We look forward to further strengthening our trade cooperation, as we move forward to engaging with each other through the EFTA framework, as well as our multilateral

cooperation in strengthening the multilateral trading system.

4.421. I would like to conclude our remarks by expressing our profound appreciation to the

delegations of Switzerland and Liechtenstein, for their hard work; and to Ambassador Didier Chambovey, the Permanent Representative of Switzerland to the WTO, as well as to Ambassador Peter Matt of Liechtenstein, for their continued cooperation in advancing together the multilateral trading system. Indonesia wishes Switzerland and Liechtenstein every success in their fifth joint Trade Policy Review.

TAJIKISTAN

4.422. The trade policy review reports, prepared by the Governments of these countries reveal the stability of their countries economy.

4.423. The Republic of Tajikistan and Switzerland have strong economic relationships. Switzerland takes one of the leading positions among the major political and economic partners of the Republic of Tajikistan.

4.424. The Republic of Tajikistan has the numbers of bilateral agreements with Switzerland in

spheres such as promoting of the economy, investments, technical cooperation and others.


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4.425. The Republic of Tajikistan wishes to Switzerland and Liechtenstein a successful trade policy review and all of the best for the future.

GEORGIA

4.426. At the outset, I would like to express appreciation to the Governments of Switzerland and Liechtenstein and the Secretariat for their work in compiling the comprehensive report on trade policy developments over the course of the review period.

4.427. It is very important to note that economic, political and diplomatic relations Georgia established with Switzerland and Liechtenstein date back from 1992 and have been evolving and consolidating ever since.

4.428. From the economic viewpoint, Georgia had been a beneficiary of Generalized System of

Preferences (GSP) from Switzerland over the years enabling Georgian exports enjoy lower import tariffs on certain type of commodities. It is being even more liberalized under the Free Trade

Agreement signed last year between Georgia and EFTA States. We very much hope that the Agreement will enter into force by the end of this year. Once the Agreement enters into force, it will become an instrument with the potential to further strengthen economic ties and to promote more inclusive trade among the parties.

4.429. Switzerland and Liechtenstein continue to be strong supporters of a rules-based multilateral trading system and they always advocate further trade liberalization.

4.430. Switzerland has a well-diversified and advanced economy that easily withstands the

turbulences deriving from the economic problems in the euro zone. Since the last trade policy review in 2013, the Swiss economy has continued to grow (1.5% on average during the period 2013-15). Bilateral trade between Georgia and Switzerland has been demonstrating significant growth over the past few years reaching US$125 million in trade turnover in 2016 with 32%

growth as compared to 2015. Georgia's exports to Switzerland in 2016 also shows huge increase by 165% compared to previous year.

4.431. We commend Liechtenstein for its stable and predictable investment regime. Georgia and

Liechtenstein have concluded the Double Taxation Agreement (DTA) which entered into force last year. We strongly believe that the entry into force of the FTA with EFTA States will give significant contribution towards more economic integration with these two states.

4.432. In conclusion, we would like to underline that Switzerland and Liechtenstein are valued partners of Georgia. We are convinced that the existing strong and amicable cooperation will be further strengthened.

4.433. We wish Switzerland and Liechtenstein a successful review.

ISRAEL

4.434. At the outset, Israel would like to note that international trade continues to play a dominant role in these economies which have largely maintained an open trade regime. Since the last review in 2013, these two WTO Members have continued to pursue liberal trade and investment policies and have remained strong advocates of the multilateral trading system.

4.435. Switzerland is our main trading partner among the four countries which make up the

European Free Trade Association (EFTA), with bilateral trade reaching over US$4.9 billion in 2016 and Swiss capital stock in Israel amounting to US$1.2 billion by the same year. Switzerland became our 4th most important trading partner for imports and 8th for exports, amounting in 2016 to (in US$ millions) US$3,651.2 and US$1,265, respectively. Israel imports pharmaceutical products, machinery, stones and precious metals, and watches. Israeli exports into Switzerland are chiefly stones and precious metals, machinery and agricultural products.

4.436. Switzerland and Liechtenstein have diversified developed economies which have shown the

ability to quickly adapt and resist macroeconomic shocks. In spite of an adverse regional economic environment and a highly valued currency these economies have continued to grow while keeping


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protectionism at bay. Israel appreciates that Switzerland and Liechtenstein have bound 99% of their tariff lines and applied a low average tariff rate of 2.3% to non-agricultural goods, although some tariffs peaks continue to be applied, 19.7% of tariff lines are duty free. Notwithstanding, Switzerland and Israel share a similar approach in tackling the concern for high domestic prices through opening-up the economy to imports. For example, Switzerland suspended MFN tariffs on 60 tariff lines in textiles from 1 January 2016 for a period of four years. Israel would like to note

that all tariffs are specific duties and customs duties are still calculated on the basis of gross weight, or quantity, instead of value and would encourage Switzerland to change its system to one based on value.

4.437. Israel is pleased to note that Switzerland and Liechtenstein do not have any anti-dumping, countervailing or safeguard measures in place. We commend these countries continuous efforts in containing the use of contingency measures. Further, we commend Switzerland's active

engagement in the anti-dumping negotiations which seek to clarify and improve the relevant rules.

Israel also shares the objective of strengthening the Anti-dumping Agreement to forestall its abuse for protectionist purposes. We shall continue to work constructively with Switzerland and other Members on improving the multilateral trade rules and to bring the negotiations to a fruitful conclusion.

4.438. Turning to trade in services, Israel shares a very similar ambition with Switzerland working towards a liberalised services regime underpinned by robust disciplines which provide transparency

and predictability enabling the free exchange of services. We look forward to continue cooperating closely towards achieving our common goal.

4.439. Switzerland and Liechtenstein have generally open investment regimes whereby most economic sectors are accessible to local and foreign investors. However, investment restrictions continue to apply in Switzerland in certain areas and sectors. Liechtenstein's investment restrictions mainly apply in public utilities as well as a number of financial services. Israel would encourage both Switzerland and Liechtenstein to review and further relax their existing

restrictions. Although we did not submit written questions, we remain interested in Switzerland's responses in relation to the adoption of the Automatic Exchange of Information and its implications for tax and banking practice.

4.440. Switzerland and Liechtenstein share similar views with Israel in regards multilateral trade liberalization, and work alongside them on a large number of issues in the WTO and plurilaterally. We are parties to the Government Procurement Agreement and the Information Technology

Agreement, while we are also participants in the negotiations of the EGA and TiSA. Regarding the DDA negotiations, we are part of the G10 group on agriculture, and are also members of the Friends of Anti-Dumping Negotiations, and of the Really Good Friends in the Services negotiations. We would like to take this opportunity to extend our sincere appreciation to the hard working teams in the Missions of Switzerland and Liechtenstein in particular we would like to thank Switzerland for its effective leadership in the Friends of the System and for its impeccable coordination of the G10 group on agriculture.

4.441. To conclude, allow me to wish these two countries every success in this trade policy review.

GHANA

4.442. On the bilateral front, Ghana's relationship with Switzerland dates back to 1828 when Missionaries from Basel arrived in the ten Gold Coast, now Ghana. The Missionaries pioneered the establishment of many schools in the country.

4.443. With regards to trade, the volume of trade between Switzerland and Ghana hits

US$1.8 billion in 2014 and has been rising since.

4.444. For instance, in 2016, Switzerland imported over US$2 billion worth of gold from Ghana for conversion to finished products. This showed an overwhelming increase of about US$90 million

dollars over the 2015 figure of about US$1 billion. In fact, Ghana is the third most important supplier of gold for Switzerland after Peru and Uzbekistan, respectively.


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4.445. Ghana is Switzerland's second most important trade partner in Sub-Saharan Africa. The most recent imports are led by refined petroleum which represents 14.7% of the total imports of Ghana, crude petroleum which accounts for 3.68%.

4.446. Furthermore, Ghana remains a major supplier of cocoa and other cashew products as well as pineapple for Switzerland. Switzerland, in turn, exports finished products such as pharmaceutical products, tools, equipment and vehicles to Ghana.

4.447. My delegation requests Switzerland to, as part of measures to address the persistent trade imbalance, forge strategic partnerships with Ghanaian businesses to enable us add value to our raw cocoa and gold for better returns.

4.448. Ghana notes that Switzerland is a high-income country whose wealth is highly dependent on international trade, enjoying good governance based on a system of direct democracy with the

right to a popular vote on legislative reforms.

4.449. Ghana further notes that Liechtenstein is a small but wealthy country with a diversified economy, with a GDP of over SwF 5 billion which grew by 2.1% and 3% in 2013 and 2014, respectively. A distinctive feature of the economy is the large number of inward cross-border commuters. 54% of Liechtenstein's workforce in 2015 mainly lived in Switzerland and Austria.

4.450. It is interesting to note that Liechtenstein's economic performance is tied, amongst others, to the exchange rate movements of the Swiss franc, as it shares a common currency with Switzerland.

4.451. As a member of the European Economic Area (EEA), Liechtenstein participates in the single market among the EU and EEA/EFTA countries which is designed to provide for the free movement of goods, services and persons.

4.452. My delegation again notes the fact that Switzerland remains among the top destinations for foreign direct investment with most economic sectors open to investment.

4.453. With regards to trade policy, one of the key objectives of Switzerland's foreign economic policy is to strengthen the country as a business location and support the positioning of

Switzerland in the European and global market.

4.454. As a strong supporter of the WTO and an advocate for further liberalization of world trade, Switzerland has been an active participant in the Doha Development Agenda (DDA) negotiations, and engages constructively in initiatives within the multilateral trading system.

4.455. Ghana commends Switzerland and Liechtenstein for formally accepting the Trade Facilitation Agreement (TFA) during the period under review. It also notes that tariff reductions

resulting from the expansion of the Information Technology Agreement (ITA II) are being

implemented on a provisional basis since the beginning of this year.

4.456. My delegation commends Switzerland for submitting well over 100 notifications on a broad range of subjects, notably on TBT and TRIPS matters.

4.457. Having acknowledged the very impressive macroeconomic performance as well as the impressive trade policy regime of Switzerland and Liechtenstein, Ghana notes that the Swiss economy is challenged with the issue of competitiveness in the face of a strong Swiss franc, high

prices prevailing in the economy, weak productivity, growth and open issues in Switzerland's relationship with the EU.

4.458. Ghana further recommends that Switzerland addresses the issue of investment restrictions that are continually applied to activities under State monopoly, including certain transport services, some postal services and insurance services, as well as its agricultural sector for competition.

4.459. To conclude, my delegation wishes Switzerland and Liechtenstein a successful joint Trade

Policy Review.


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PAKISTAN

4.460. Switzerland has consistently been ranked as the most competitive economy by the World Economic Forum, for the last so many years. We continue to learn from our hosts but the Swiss never cease to impress. In 2016, UNDP, Human Development Index (HDI) ranked Switzerland at 2nd place out of 188 countries.

4.461. UNCTAD B2C e-commerce index ranked Switzerland at 9th place out of 137 countries, a

further up from its rank in 2014 at 14th place. Although Cross border Ecommerce doesn't match the standards of excellence Swiss have in all other fields.

4.462. In 2016, WEF global gender gap report, Switzerland ranked 11th out of 144 countries, this is slightly lower compared to its ranking and score in 2015 where Switzerland was at 8th out of 145 countries.

4.463. Between Switzerland and Pakistan there are numerous bilateral agreements in fields as

wide-ranging investment protection, debt consolidation, aviation, and double taxation. We have in March this year signed a New Double Taxation agreement with Switzerland, which contains provisions of information exchange in accordance with the international standard and an anti-abuse provision with minimum standard set by the BEPS (Base Erosion and Profit Shifting) initiative of G20/OECD.

4.464. Switzerland has traditionally run a trade surplus with Pakistan and has been one of the country's biggest direct investors for many years. In 2016, bilateral trade between the two

countries went up from US$436 million to US$491.9 million, an increase of 12.8%. Both Swiss imports from and exports to Pakistan increased respectively by +14 and +12.4%. Switzerland ranks fifth in terms of foreign direct investment (FDI) in Pakistan and a very reliable trading partner.

4.465. The Swiss-based multinational companies have invested 1.2 billion in Pakistan, in various sectors including food processing, pharmaceuticals, chemicals, machinery, engineering and banking. These firms employ around 12,000 people. Nestle has the world's largest milk processing

plant in Pakistan.

4.466. Pakistan has signed a Joint Declaration of Cooperation (JDC) with EFTA to increase bilateral trade with EFTA States, in addition to promoting investment and economic cooperation. We look forward to working with EFTA to achieve these goals.

4.467. Pakistan is highly appreciative of the fact that the trade regimes of Switzerland and Liechtenstein remain generally open. Switzerland and Liechtenstein continue to be strong

supporters of a rules-based multilateral trading system.

4.468. The Swiss economy is a well-diversified and advanced economy. Despite a difficult

environment, the economy continued to grow by 1.5% on average in 2013-15, accompanied by relatively low unemployment. Switzerland has a large services sector but also possesses a strong, high-tech and export- oriented manufacturing sector.

4.469. Pakistan is very impressed by the fact that Switzerland remains among the top destinations for foreign direct investment. Most economic sectors are open to investment.

4.470. Despite being a small country, Liechtenstein too has a diversified economy, which is based on a comparatively large industrial sector and the financial services industry. As a consequence of the very small domestic market, Liechtenstein's economy is highly export-oriented. We are impressed that it has retained its competitiveness owing to niche products, and regulatory reforms in the financial services sector.

4.471. In Liechtenstein, most sectors are open to national and foreign investment (subject to residency requirements), except for restrictions on certain sensitive sectors.

4.472. Pakistan appreciates the fact that, Switzerland and Liechtenstein were one of the first to ratify the Trade Facilitation Agreement in 2015.


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4.473. Pakistan is pleased to note that the Swiss Government has initiated domestic procedures to eliminate relevant agriculture export subsidies by January 2019 in line with commitments made at the WTO Ministerial Conference in Nairobi.

4.474. Switzerland-Liechtenstein's average applied MFN tariff was reduced to 9.0% in 2016, compared with a simple average of 9.2% in 2012. MFN tariffs on agricultural products averaged 30.8% in 2016, while the average for non-agricultural products was 2.3%.

4.475. We appreciate that Switzerland and Liechtenstein do not have any specific antidumping, countervailing or safeguard legislation, and have never applied such measures.

4.476. Switzerland has been liberalizing its services sector, albeit, with certain reservations. This general liberalization is very welcome, and Pakistan feels that there is a lot to be learnt from their experience in services sectors. These sectors include energy sector, air transport services, postal

services, professional services, with specific focus on architectural and construction services.

Medical and hospital services are subject to a non-discriminatory economic needs test to ensure universal services at the lowest cost for the Swiss social security system. Social services, such as retirement homes, are open to foreign investment.

4.477. With regard to banking services, Pakistan welcomes a key regulatory development, which is the adoption of the automatic exchange of information (AEOI) regarding tax matters, in order to combat cross-border tax evasion. Liechtenstein was among the early adopters of the OECD standard, and it put in place the necessary legislation for the AEOI. In addition,

Anti-money-laundering legislation has also been reinforced.

4.478. We view Switzerland as the most committed and faithful Friend of the system, a very keen supporter of the multilateral system. In these trying times, the Swiss role as the coordinator of the Friends of the System becomes all the more important. We greatly appreciate the role of H.E. Didier Chambovey, and his team at the Swiss Mission in assisting the other Missions generally

and in always trying to move towards convergence in different trade related issues. We immensely value our partnership with Swiss Mission on issues of e-commerce and MSMES.

4.479. In the end, we wish Switzerland and Lichtenstein a very successful and fruitful TPR.

URUGUAY

4.480. Nuestro país ha tradicionalmente mantenido amistosas y constructivas relaciones con Suiza y Liechtenstein en los distintos ámbitos de la relación bilateral; tanto en el plano político, económico-comercial, como de cooperación y cultura.

4.481. Desde el último examen de las políticas comerciales del año 2013, el relacionamiento

político y comercial entre Uruguay, Suiza, y Liechtenstein se caracterizó por su estabilidad.

4.482. Respecto a la relación bilateral con Suiza, la dimensión de la cooperación bilateral entre nuestros países se caracteriza por la continua consolidación de varios acuerdos relevantes, entre los cuales vale la pena mencionar el Acuerdo relativo a la Promoción y Protección recíproca de las inversiones, y el Convenio para Evitar la Doble Imposición en Materia de Impuestos sobre la Renta y sobre el Patrimonio.

4.483. Asimismo, Uruguay y Suiza suscribieron durante el año 2016 un acuerdo para intercambiar

información financiera en el marco de la Convención de Asistencia Mutua en Asuntos Fiscales y el Acuerdo Multilateral de Autoridades Competentes.

4.484. Con relación al intercambio comercial, durante el año 2015 y 2016, los principales productos de exportación desde nuestro país fueron el oro en bruto, semi-labrado o en polvo; carne de animales de la especie bovina, fresca o refrigerada; y carne de animales de la especie bovina, congelada; así como la soja.

4.485. Sin embargo, se registró una disminución en el año 2016 de las exportaciones uruguayas a

Suiza, vinculada a la fluctuación de los valores internacionales de los dos principales productos de exportación de nuestro país: el oro y la carne.


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4.486. En el año 2016, las importaciones desde suiza se concentraron en torno a los productos farmacéuticos, instrumentos y aparatos de óptica, así como productos químicos orgánicos.

4.487. Uruguay desea encomendar el trabajo realizado por Suiza y Liechtenstein en el fortalecimiento del sistema de comercio multilateral, y destacar el importante rol de la Misión Suiza ante la OMC por su liderazgo del Grupo Friends of the System.

4.488. Finalmente, quisiéramos reafirmar el interés de nuestros países por aunar esfuerzos para

alcanzar un resultado positivo en la CM11, y proteger el sistema multilateral de comercio basado en normas previsibles, transparentes, y equilibradas.

4.489. Uruguay le desea a Suiza y Liechtenstein el mayor de los éxitos en su quinto examen de políticas comerciales.

TCHAD

4.490. Le Tchad apprécie hautement l'engagement de l'Organisation mondiale du commerce

(OMC) à soutenir les efforts de la Suisse visant à créer les conditions favorables au développement des pays les moins avancés dans le respect des règles du commerce multilatéral. Nous saluons l'adoption par la Suisse du système des exportations enregistrés en matière des règles d'origines préférentielles pour les PMA, qui est censé réduire de manière substantielle la charge administrative liée aux prescriptions en matière de documents et de procédures.

4.491. Dans cette perspective, il est à noter que le niveau d'exportation des PMA vers la Suisse est encourageant et a été rendu possible grâce à ce système de préférences pour les PMA. Les

PMA bénéficient incontestablement d'un accès au marché en franchise et sans contingent pour la Suisse et le Liechtenstein aussi bien pour les produits agricoles et non agricoles.

4.492. Toutefois, des progrès importants restent à faire pour que nos pays qui sont plus

vulnérables puissent exporter davantage vers la Suisse et le Liechtenstein, étant donné que le taux d'utilisation des préférences accordées était de 51% en 2015, selon le rapport du Secrétariat.

4.493. Le Tchad se félicite de la vision à laquelle souscrit la Suisse en ce qui concerne les règles commerciales multilatérales et sa détermination à satisfaire aux prescriptions en matière de

notification et à son engagement à se mettre en conformité avec ses obligations à l'OMC. De ce point de vue, le Tchad se félicite de l'adoption par la Suisse d'une ordonnance qui met fin aux subventions à l'exportation sur les produits destinés aux PMA, conformément à la décision ministérielle de Nairobi.

4.494. Nous nous félicitons également que la Suisse ait notifié son traitement préférentiel pour les fournisseurs de services et de services des PMA en y ajoutant des préférences au-delà des

mesures de l'article 16. La Suisse possède un important secteur des services mais également un tissu industriel solide, à la pointe de la technologie et tournée vers l'exportation et qui intéresse

particulièrement nos pays.

4.495. A l'instar des autres PMA, le Tchad considère la Suisse comme un partenaire important avec lequel il souhaite développer davantage ses relations commerciales. Le secteur privé tchadien développe depuis quelques années des partenariats fructueux avec les opérateurs économiques suisses, notamment dans le domaine du textile. Le Tchad apprécie le soutien de la Suisse à

l'initiative "Aide pour le commerce" et son engagement pour le Cadre intégré renforcé (CIR). Il nous semble pertinent de maintenir et de renforcer la vision développée par la Suisse et le Liechtenstein en ce qui concerne l'amélioration des capacités commerciales des pays à faible revenu pour faire face à leur vulnérabilité macroéconomique.

4.496. Le Tchad salue l'intérêt de la Suisse et du Liechtenstein en faveur des PMA et des pays en développement dans le cadre de l'amélioration du climat des échanges au niveau multilatéral, notamment à travers leurs appuis multiformes et toujours soutenus aux renforcements des

capacités humaines et institutionnelles de ces pays. Le développement à terme des PMA ne peut

se soustraire de l'évolution des nouvelles questions actuellement abordées à l'OMC. Nous réitérons un dialogue inclusif et constructif afin de pallier les différentes difficultés observées. Avec la vision 2030 du Gouvernement tchadien, le développement du secteur des produits de base et des


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services restent une priorité nationale et nous comptons sur votre habituelle et étroite collaboration pour y parvenir.

4.497. La Suisse avec une prospérité économique évidente, des institutions solides fondées sur une bonne gouvernance, une démocratie directe et son principe de prudence budgétaire est un exemple à suivre. Un proverbe africain dit: "Pour qu'un enfant grandisse, il faut tout un village". Le Tchad salue les efforts non négligeables de la Suisse et du Liechtenstein en vue de créer une

dynamique inclusive importante pour le commerce et le système commercial multilatéral. Ma délégation encourage les deux pays à poursuivre leurs efforts et souhaite à la Suisse et au Liechtenstein plein succès pour leur examen des politiques commerciales.

JORDAN

4.498. We would like to thank the Heads of the delegations for the statements made, which

highlight the continuous positive economic developments and the resilience of both economies in

spite of the economic challenges. It is a proof of productive trade policies that are based on the rules of the multilateral trading system, which provides a solid base for a predictable, fair and comprehensive trade for all.

4.499. Out of this inclusive vision, Jordan along with Switzerland and Lichtenstein worked on expanding and deepening relations within the multilateral trading system, and beyond, to a free trade area agreement between Jordan and EFTA States, which was signed in 2001 and entered into force in 2002.

4.500. This FTA provides a comprehensive trade framework that plays an important role in increasing bilateral trade and reinforcing global economic integration for all partners. Exchanged trade between Jordan and EFTA Countries reached in 2016 (327) million USD, where Switzerland is a major trading partner. We believe that many potentials are still ahead of us; on bilateral and multilateral levels.

4.501. Jordan appreciates its longstanding relations with both countries and looks always forward to advancing cooperation in different areas of mutual interest.

4.502. Finally, we wish Switzerland and Lichtenstein a successful Trade Policy Review.

KAZAKHSTAN

4.503. Resilience of Switzerland's economy against the backdrop of a volatile global economy of recent years is a remarkable achievement and in continuing this trend I would like to wish every success in the implementation of the Growth Agenda 2016-2019.

4.504. Switzerland's valuable assistance in capacity-building efforts in developing countries has

been also most notable through participation in various initiatives.

4.505. Kazakhstan enjoys a solid relationship with Switzerland. Since 1999, bilateral meetings have been held regularly within the framework of a Joint Economic Commission.

4.506. Switzerland is Kazakhstan's 5th major trade partner. In 2016, turnover amounted to US$2.8 billion. Kazakhstan exports to Switzerland energy products, precious stones and metals. Swiss imports to Kazakhstan are represented by the precision instruments and optics, watches, chemical products and pharmaceuticals.

4.507. Switzerland is the third largest investor in the economy of Kazakhstan. From 2005 to 1 September 2015, the gross inflow of direct Swiss investments in Kazakhstan amounted to US$14.5 billion. The gross outflow of Kazakh investments in Switzerland amounted to US$802.8 million. I believe there is still a huge potential for further strengthening trade and investment relations between our countries.

4.508. In order to enhance the effectiveness of linkages between the business communities of the two countries the Kazakh-Swiss Business Council (a coordinating and Advisory body) was

established in October 2012. About 40 Swiss companies are operating in Kazakhstan.


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4.509. Switzerland is an important strategic partner for Kazakhstan and I believe that there is a bright future for further enhancement of trade and economic cooperation.

4.510. Bilateral relation between Kazakhstan and Liechtenstein are also developing in a constructive way and there is significant potential for their expansion.

4.511. I also would like to use this opportunity to thank the Government of Switzerland and Liechtenstein for their full cooperation and support which has been provided to the Government of

Kazakhstan in its WTO accession negotiations.

4.512. In closing I would like to wish the delegations of Switzerland and Liechtenstein a very successful Trade Policy Review.


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5 REPLIES BY THE REPRESENTATIVES OF SWITZERLAND AND LICHTENSTEIN AND ADDITIONAL COMMENTS

MRS. MARIE-GABRIELLE INEICHEN-FLEISCH (SUISSE)

5.1. En premier lieu, je voudrais remercier au nom de la délégation suisse tous les Membres qui ont participé et contribué à cet examen des politiques commerciales. Lors de la rencontre de mardi, pas moins de 53 Membres ont pris la parole. La grande majorité des intervenants a relevé

nombre d'aspects positifs de la politique commerciale suisse. Notre engagement en faveur du système commercial multilatéral a également fait l'objet de nombreux compliments. J'ai été particulièrement touchée par les témoignages de gratitude soulignant le rôle constructif que la Suisse joue à l'OMC. Ces encouragements nous incitent à persévérer dans cette voie. J'ai également apprécié la reconnaissance pour notre soutien envers les pays les moins avancés.

5.2. Il a été fait souvent mention de la bonne gouvernance de la Suisse, de la résilience, de la

diversité et de la compétitivité de son économie. Les Membres ont salué le régime commercial généralement ouvert de la Suisse, qui favorise son intégration dans l'économie mondiale. Notre politique de facilitation des importations dans un contexte d'incertitudes a été mise en exergue. Les efforts que la Suisse a consentis dans le domaine de la concurrence à l'exportation ont été reconnus.

5.3. À ce propos, le Gouvernement a approuvé hier le paquet de réformes concernant la suppression des contributions à l'exportation pour les produits agricoles transformés

conformément à la décision de Nairobi. Cette réforme prévoit des mesures d'accompagnement telles que la facilitation du trafic de perfectionnement et des paiements directs additionnels aux producteurs de lait et de céréales panifiables. Cette réforme, de même que la décision ministérielle sur la concurrence à l'exportation et la modification de la liste d'engagements suisse sont maintenant soumises au Parlement pour approbation. Ces mesures devraient effectives le 1er janvier 2019.

5.4. Permettez-moi maintenant de revenir sur certains des points importants que les Membres et

le présentateur, l'Ambassadeur David Walker, ont soulevé.

5.5. Monsieur le Président, je structurerai mon intervention suivant la structure du rapport du Secrétariat.

Environnement économique et régime commercial et d'investissement

5.6. S'agissant des sections relatives à l'environnement économique et notre régime commercial et d'investissement, plusieurs Membres ont évoqué la politique de croissance 2016-2019. Pour

répondre à une question orale de l'UE, la mise en œuvre de cette politique est actuellement en cours. Le Gouvernement établira une première évaluation au début de l'année prochaine. Toutefois, certains jalons ont déjà pu être posés avec succès. Il s'agit notamment du rapport sur

les "conditions-cadres de l'économie numérique" et du rapport sur l'obstruction des importations parallèles. Dans le contexte de notre politique de croissance, plusieurs questions se rapportent aux mesures de facilitation des importations. La Suisse évalue actuellement le potentiel économique de l'assouplissement autonome des restrictions à l'importation. Par exemple, l'élimination unilatérale

des droits de douane pour les produits industriels, la réduction ponctuelle des droits de douane dans le secteur agroalimentaire, l'augmentation du seuil de minimis sur le prélèvement des droits de douane, ainsi que la simplification des procédures douanières sont actuellement examinés.

5.7. Les conséquences économiques des obstacles techniques au commerce sont également étudiées. En ce qui concerne les exemptions au principe du Cassis de Dijon qui s'appliquent aux importations en provenance de l'UE, l'objectif des travaux en cours est de développer des propositions spécifiques d'ici fin 2017.

5.8. Pour ce qui est du cadre institutionnel de notre politique commerciale, plusieurs Membres ont évoqué la question de notre participation à divers accords de libre-échange. Notre priorité

demeure le renforcement du système commercial multilatéral. L'intégration dans l'économie mondiale passe par l'appartenance à l'OMC et le développement de son cadre réglementaire.


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Cependant, la conclusion d'accords commerciaux régionaux est un moyen complémentaire de s'ouvrir au marché global.

5.9. Dans le domaine des investissements, plusieurs Membres ont demandé si la Suisse entendait libéraliser davantage l'accès aux secteurs sous monopole ou contrôlés par des entreprises d'État. De manière générale, la Suisse est très ouverte aux investissements étrangers et les restrictions ne continuent de s'appliquer qu'à quelques secteurs. C'est le cas pour certaines entreprises de

transport de passagers, quelques services postaux spécifiques, et l'assurance obligatoire contre l'incendie et les dégâts naturels. Ces monopoles d'État sont clairement définis dans la loi. La plupart de ces restrictions sont ponctuelles et ne couvrent pas l'intégralité d'un secteur. Concernant le marché de l'éthanol, la Suisse va abolir son statut de monopole sur les importations. Ce marché sera libéralisé dès début 2018.

Instruments de politiques commerciales

5.10. Permettez-moi, Monsieur le Président, de répondre maintenant à quelques questions en rapport avec les instruments de notre politique commerciale. Premièrement, je voudrais aborder la question du maintien de nos droits de douane spécifiques pour l'ensemble de nos positions tarifaires. La Suisse n'envisage pas de modifier son système de droits de douane. Ce système est simple, prévisible et transparent. Il ne pose pas de problème dans son application quotidienne. J'aimerais aussi rappeler que l'article II du GATT ne prescrit pas le type de droits de douane que les Membres de l'OMC doivent utiliser.

5.11. De même que lors du dernier examen, nombre de Membres ont évoqué le principe dit du "Cassis de Dijon" – une mesure autonome prise par la Suisse. Conformément à ce principe, les produits qui satisfont aux prescriptions techniques de l'UE peuvent être commercialisés librement en Suisse sans contrôle préalable. Les exceptions à ce principe sont motivées par des intérêts publics, tels que la protection de la santé, de l'être humain, des animaux et de l'environnement. Pour les denrées alimentaires, l'application du principe du Cassis de Dijon est soumise à une

réglementation spéciale pour des raisons de protection des consommateurs. Dans des cas dûment

motivés, le Gouvernement peut arrêter une exception. Le principe du Cassis de Dijon s'applique exclusivement aux produits de l'Union européenne et de l'Espace économique européen. Néanmoins, il profite aussi aux producteurs extra-européens, dans la mesure où ils remplissent les exigences techniques de l'Union européenne.

5.12. Dans le domaine des mesures non-tarifaires, les États-Unis nous ont questionnés oralement mardi sur la notification de la réglementation sur les exigences d'origine pour l'étiquetage des

aliments. Cette réglementation a été notifiée à l'OMC le 3 septembre 2015 au Comité OTC. Cette réglementation fait partie du nouveau régime sur la sécurité alimentaire. Les mesures finales de ce nouveau régime seront notifiées prochainement aux Comités OTC et SPS.

5.13. Nous avons reçu quelques questions sur les taxes prélevées sous forme de contributions à des fonds de garantie. Afin d'assurer l'approvisionnement du pays en biens et en services d'importance vitale lors de graves pénuries, la Suisse constitue des réserves de certaines

marchandises, par exemple certaines denrées alimentaires de base, des aliments pour animaux,

des engrais, des carburants et des produits thérapeutiques. Les coûts de gestion de ces stocks sont financés par des taxes prélevées sur la production et/ou l'importation de ces marchandises. Ces taxes sont appelées contributions aux fonds de garantie. La Suisse a remarqué que ces taxes peuvent parfois engendrer un dépassement des droits de douane consolidés à l'OMC. La Suisse va travailler à la mise en œuvre d'une solution entièrement compatible avec ses obligations internationales dans le cadre de l'OMC.

5.14. La ratification de l'accord sur les marchés publics révisé a été évoquée à plusieurs reprises.

À la suite de la signature par la Suisse de cet accord le 30 mars 2012, les autorités fédérales et cantonales ont décidé d'accompagner sa transposition dans la législation nationale par un processus d'harmonisation parallèle des législations fédérales et cantonales. Au niveau fédéral, les deux Chambres du Parlement devraient délibérer au cours de l'année 2017. Au niveau cantonal, les procédures internes pour l'approbation des législations cantonales révisées sont également en

cours. La Suisse sera en mesure de déposer à l'OMC son instrument de ratification de l'accord

révisé une fois que toutes les procédures d'approbation fédérales et cantonales auront abouti.


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5.15. S'agissant de la propriété intellectuelle, plusieurs questions se sont rapportées à la nouvelle législation "Swissness", entrée en vigueur le 1er janvier 2017. Les nouveaux critères sur la protection des marques permettent de définir plus précisément un produit ou un service suisse. Cela assure une concurrence loyale et empêche des pratiques mensongères relatives aux indications de l'origine des biens ou des services. La législation "Swissness" est conforme au droit de l'OMC, à la Convention de Paris pour la protection de la propriété industrielle et aux autres

obligations juridiques internationales pertinentes. Elle garantit la sécurité juridique, la transparence du commerce et les pratiques commerciales équitables.

Politiques sectorielles

Agriculture

5.16. De nombreuses questions nous ont été adressées en relation avec l'agriculture. Je me

limiterai ici à répondre à celles de nature plus politique. La Suisse a en effet répondu en détail par

écrit aux questions plus techniques.

5.17. La politique agricole de la Suisse a connu depuis le début des années 1990 un développement en plusieurs étapes visant à renforcer le rôle du marché. L'évolution constante de l'économie et des conditions sur les marchés nationaux et internationaux impose une analyse continuelle des politiques en vigueur et des ajustements de celles-ci si nécessaire. Le Gouvernement souhaite améliorer la compétitivité de l'agriculture suisse sur les marchés nationaux et internationaux, assurer une meilleure gestion des ressources naturelles et faciliter un

développement entrepreneurial des exploitations.

5.18. Plusieurs intervenants nous ont demandé quelles étapes étaient envisagées afin de poursuivre la libéralisation de notre agriculture. La politique agricole se mène selon une stratégie de long-terme qui prend en compte des facteurs de nature non-commerciale comme l'environnement, la topographie particulière du paysage suisse et la répartition de la population

suisse sur son territoire. Au niveau multilatéral, la Suisse s'est toujours engagée dans des processus de réforme selon l'article 20 de l'Accord sur l'agriculture de l'OMC. Dans ce contexte,

nous sommes prêts à poursuivre nos efforts, dans le cadre de paquets de négociations plus larges et en cohérence avec les objectifs de l'agenda 2030 des Nations Unies. La libéralisation de notre agriculture se concrétise aussi par la mise en œuvre de la décision de Nairobi sur la concurrence à l'exportation, évoquée en début d'intervention.

5.19. Beaucoup de Membres ont critiqué le niveau élevé des droits de douane pour les produits agricoles. Il convient de rappeler que le commerce se fait principalement à l'intérieur des

contingents tarifaires au bénéfice de taux réduits. Dans ce sens, la constatation d'une moyenne de droits de douane élevés ne reflète pas une image économiquement correcte de l'ouverture du marché.

5.20. Plusieurs Membres ont évoqué notre système d'administration des contingents, souvent considéré comme complexe. L'instrument des contingents tarifaires garantit un accès au marché

suisse à des droits de douane réduits. La Suisse augmente régulièrement et significativement ses contingents tarifaires afin de satisfaire la demande intérieure. De plus, certains contingents

tarifaires ne sont plus administrés et les produits soumis aux conditions du contingent peuvent être importés en quantité illimitée. L'utilisation de cet instrument est conforme aux règles de l'OMC.

Services

5.21. Outre le secteur agricole, nous avons reçu également quelques questions sur les services. La Chine a soulevé oralement mardi la question de la libéralisation du secteur des télécoms. De fait, le secteur des télécommunications en Suisse est ouvert depuis 1998. Selon les "Perspectives

de l'économie numérique de l'OCDE 2015", les prix des abonnements fixes à haut-débit en Suisse se situent à un niveau concurrentiel à l'échelle internationale. Même si l'entreprise Swisscom occupe une position forte tant sur le réseau fixe que sur les marchés mobiles, la pression de la

concurrence a un impact continu sur les mouvements du marché, l'innovation, la qualité des services et les prix.


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5.22. J'espère qu'avec ces explications j'ai pu aborder une grande partie des questions et remarques qui nous ont été adressées. Je suis reconnaissante de l'opportunité qui nous a été offerte d'exposer nos points de vue.

5.23. Pour terminer, Monsieur le Président, je voudrais mentionner quelques aspects du processus selon lequel cet Examen s'est déroulé. Lorsque ce processus a débuté, nous avons choisi d'opérer selon les délais normaux ("regular timeline"). Cela signifie que, malgré nos efforts, nos réponses

écrites n'ont été circulées que le mardi matin. Il se trouve que les débats lors du premier jour auraient gagné en valeur si nos réponses avaient été circulées deux semaines avant la rencontre. C'est une constatation que nous n'oublierons pas lors de notre prochain examen. Nous choisirons alors vraisemblablement d'appliquer les délais alternatifs ("alternative timeline").

5.24. Je vous remercie Monsieur le Président et chers collègues pour votre attention.

H.E. AMBASSADOR PETER MATT (LIECHTENSTEIN)

5.25. Let me start by thanking all delegations, our discussant and you, Mr. Chairman, for the interest shown in this Trade Policy Review and for all questions and comments received. Let me start with comments.

5.26. Liechtenstein has in the past years gone through substantial reforms in the financial sector and is participating actively in the area of taxation and tax cooperation. We appreciate that these efforts have not gone unnoticed but have also been highlighted by various delegations in the current framework of this trade policy review. Liechtenstein will certainly continue this path and

further widen its AEOI-network. Exchange of information is, however, only one aspect or side of the medal. The other one is directly trade and investment related and therefore important to mention here, too: Double Taxation Agreements (DTAs). Besides free trade agreement and information exchange, comprehensive trade relations nowadays should also include rules governing the topic of double taxation. Accordingly, Liechtenstein is constantly extending its

DTA-network as an important element of the framework conditions offered to economic operators both local and foreign.

5.27. Another aspect commended widely upon in appreciation was the clear and undiluted support of the multilateral trading system by my country. Let me assure you that Liechtenstein and myself will continue this path without hesitation. Let me at this stage also extend my own and my country's deep appreciation to my Swiss colleagues both here in Geneva and in Bern for their strong and outstanding commitment to this Organization.

5.28. Allow me to highlight some questions we received. More detailed answers to the received

questions have already been distributed on Tuesday and another batch will follow shortly.

5.29. Our close link with Switzerland is in particular based on the Customs Union Treaty dating from 1923. This treaty is not only the basis for this joint review but also for the simplified

Liechtenstein answer to most of the questions received that are not exclusively addressed to Switzerland or Liechtenstein. What remains for me here is to thank State Secretary Ineichen-Fleisch and her team for the exhaustive answers given to this large number of issues raised. The answers given by Switzerland are equally valid for Liechtenstein.

5.30. When it comes to questions specifically addressed to Liechtenstein, I would like to emphasize at the outset that our answers to a number of issues have to be seen in light of Liechtenstein's very specific situation to which I already referred on Tuesday. For instance, when it comes to possible further liberalization of the generally open, stable and predictable investment regime, Liechtenstein has to manage a difficult compromise between our interests for new investments on the one hand and what is politically acceptable and physically possible on the other. The financial service sector, for example, has basically been fully liberalized for banks,

insurances and funds with merely prudential requirements in place. But even these requirements are not nationality or strictly residency based as, where a presence is considered necessary, residing in one of the 4 countries in the region often suffices.

5.31. Another specific feature of Liechtenstein which is related to a number of questions received and which I already mentioned in my introductory statement on Tuesday is that Liechtenstein is


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part of two markets, the Swiss and the European one. Accordingly, many aspects are regulated or influenced by EU/EEA-legislation. The governance of EEA-rules can cover whole sectors like financial, telecom or energy but also specific fields like IPR. More concrete and with reference to questions received, such EEA-acts include various banking Regulations such as Capital Requirement Directive (CRDIV); the Bank Recovery and Resolution Directive; Solvency II, anti-money-laundering/terrorist-financing directives; Securities Regulations, the so called telecom

and energy packages or Directive 2014/26/EU on collective management of copyrights and related rights and multi-territorial licensing of rights in musical works for online use in the internet - to name just a few. The proper implementation of these EU/EEA-acts is monitored by the EFTA Surveillance Authority and can be challenged with a complaint to the EFTA Court of Justice. I think it is fair to say that Liechtenstein enjoys a good track-record when it comes to living up to the obligations stemming from its EEA-membership.

5.32. Another question referred to the control and management of state-owned enterprises. In

Liechtenstein, the state-owned enterprises (on national or communal level) are nearly exclusively supplying basic services in the classical sectors, i.e. water, energy, health, elderly care or telecommunication. In addition, the state owns institutions in the cultural sectors (e.g. museums) and for financial market surveillance.

5.33. The few enterprises that are participating in the market have already years ago been restructured into capital companies in which the State holds shares to a varying degree

(51%-100%). For these companies, a strict corporate governance regime is in place which includes a framework law, a corporate governance code, semi-annual controlling and reporting to the audit committee of the Parliament.

5.34. In spite of these particularities, Liechtenstein shares a high number of policy communalities with Switzerland, including for the sector which attracted most comments in this review, namely agriculture. Liechtenstein fully shares the Swiss policy of the multifunctional role of agriculture which goes beyond the mere calculation of the latter's contribution to GDP. About two thirds of the

territory of Liechtenstein is hilly and mountainous areas. The general maintenance of its rural character is one of the overarching goals of Liechtenstein's internal development policy. Agricultural use of the mountainous areas ensures their sustainable development which in turn is also an important factor for Liechtenstein's positioning as an attractive tourism destination. Such use and maintenance of these mountainous areas is, however, costly. Green box measures are therefore necessary and enjoy widespread public support in Liechtenstein despite their high price.

5.35. This brings me to the end of my statement. Let me express again our appreciation for the comments and questions of delegations which provided very valuable input to this Trade Policy Review. I thank you.

DISCUSSANT

5.36. I was struck by the large number of Members who participated in this Review, both through written questions and those who took the floor to comment on the trade and investment policies of

Switzerland and Liechtenstein.

5.37. Notable was the extent to which Members commended Switzerland for its commitment to the multilateral trading system as demonstrated through:

Hosting the WTO headquarters here in Geneva;

Hosting the "Mini-Ministerial" meeting of Trade Ministers in conjunction with the annual World Economic Forum in Davos; and

Switzerland's role as Chair of the "Friends of the System" grouping of WTO Members.

5.38. There was also widespread praise for the generally open nature of the Switzerland and

Liechtenstein trade regimes, and for their role in seeking to advance WTO norms and processes,

including across a broad range of issues in preparation for MC11 in Buenos Aires.


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5.39. That said, Members commented critically on some longstanding aspects of the regimes including the structure of tariffs, the high levels of protection accorded to agriculture, and the lack of contestability in some services sectors.

5.40. Members posed a broad range of questions seeking clarifications and asking about prospects for reform both on these issues and in other areas of interest. Switzerland and Liechtenstein have sought to provide clear answers which Members will no doubt study carefully.

5.41. It was useful to hear the further clarifications provided in the statements today, including in respect of the implementation of the Nairobi decision on agriculture export subsidies. I noticed particularly the answer given to a question posed by Ecuador about contribution fees to guarantee funds for coffee and rice. Switzerland responds clearly that given the possibility the contribution fees can exceed the relevant tariff bindings, a solution to that issue is to be identified by this September and then subsequently implemented and this was reiterated again this morning.

5.42. That I think is an exemplar of how the Trade Policy Review process can function.

5.43. It has been a pleasure to be the discussant at this fifth joint Trade Policy Review of Switzerland and Liechtenstein.

5.44. I congratulate both Switzerland and Liechtenstein on a successful Review and, going forward, wish them every success economically and in their policy evolution ahead of the next Review process. Thank you.

UNITED STATES

5.45. The United States would like to sincerely thank the delegations of Switzerland and Liechtenstein for all of their very hard work and constructive participation in this Trade Policy Review and especially under the somewhat disruptive circumstances this morning. Thank you very

much for all of the work. We have listened with a great deal of interest to the statements this morning and very much appreciated the reflection that clearly has gone into considering comments that were made on the first day of the TPR and the responses that were brought to the meeting this morning.

5.46. We would also just like to really express appreciation for the very excellent collaboration between the two Governments for this review. These joint reviews are still a bit unusual for us but we saw in this review a very excellent cooperation between the Swiss and Liechtenstein authorities both in preparation for and during the course of the meeting and that created a lot of efficiencies for us.

5.47. We found particular value through this process in gaining a more complete understanding of

Liechtenstein and its economy. I mentioned this the other evening to Ambassador Matt, we have learned a lot through your presentation on Tuesday about your very impressive country. So thanks

for that opportunity.

5.48. We will just touch very briefly on several issues that we raised on Tuesday and in our advance written questions. Again just to highlight some of our particular concerns. And we do continue to have serious concerns with very high import duties and domestic support that shield Swiss agriculture from competition and limit export opportunities from all agricultural exporters.

We appreciated that there were many expressions of concern along this line from a number of Members on Tuesday. We note that while Switzerland is harmonizing many agricultural policies with those of the European Union, Switzerland's domestic support per farm still far exceeds that of the EU. Certain Swiss SPS and TBT barriers also continue to be of concern. As we emphasized on Tuesday, we encourage Switzerland to adopt science-based SPS measures and to operate its tariff rate quotas in accordance with WTO rules.

5.49. We thank both delegations for their answers to our previously submitted written questions.

We recognize the work that goes into answering Members' advance written questions. Not all of

our agriculture-related questions have yet been answered but we appreciate the responses that we have received to date.


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5.50. The United States has submitted follow-up questions on several topics and I will briefly outline those for the information of Members of the TPRB. We have submitted follow-up questions related to notifying draft measures to the SPS and TBT Committees, whether Switzerland intends to conduct risk assessments in order to establish import tolerances for substances that do not have MRLs established in the EU. We posed questions on how Swiss authorities define the terms "reasonable suspicion" and "hazardous" in the context of approving the commercialization and

cultivation of biotechnology crops. We are interested in Switzerland's explanation of the science behind the moratorium on approvals for the cultivation of biotechnology crops. We posed questions regarding what measures Switzerland is taking to lower its high out-of-quota rates and why Switzerland believes that the additional burden of a domestic support purchase requirement is beneficial to small enterprises. We look forward to receiving answers to these follow-up questions in due course.

5.51. Again we thank both Governments for their attention to our questions. We thank

Ambassador Walker for his very thoughtful and concise perspectives as discussant and we always recognize our colleagues in the Secretariat for their really excellent work in connection with these reviews. We also appreciated this TPR as an opportunity to welcome our new Chair, Ambassador Gonzalez. We look forward to a continued fruitful relationship with both of the subjects of this review and we wish you all a good rest.

EUROPEAN UNION

5.52. The EU would like to thank the delegations of Switzerland and Liechtenstein for the replies to our advance written questions and the statements on Tuesday and this morning. These have provided many useful insights into the context and objectives of trade policies of Switzerland and Liechtenstein.

5.53. In this context, we take note of the announcement made this morning about the formal proposal being submitted to the Parliament concerning the abolition of agricultural export subsidies

which the EU will study with great interest.

5.54. As already mentioned by others and the discussant, the EU also notes the considerable attention of WTO Members shown to this joint Trade Policy Review. This demonstrates the strong interest of Members in the trade policies of Switzerland and Liechtenstein and the importance of Switzerland as an important trading partner to many WTO Members, including, of course, the EU as the closest trading partner to both.

5.55. We also heard on numerous occasions and fully share the sentiment of the wide recognition

and appreciation of the commitment that both countries show to the multilateral trading system as embodied in the WTO, including to the transparency pillar of the Trade Policy Review Mechanism and also the crucial role of both countries to this Organization.

5.56. We would like to take the opportunity of the second day by submitting a few follow-up questions. They are mostly for clarification purposes on IPR issues and on procurement. We look

forward to the replies in due course.

5.57. In conclusion, the EU would like to thank the delegations of Switzerland and Liechtenstein

for their constructive participation in this important exercise and we look forward for the next TPR under the alternative timeline as announced. Thank you very much.


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6 CONCLUDING REMARKS BY THE CHAIRPERSON

6.1. This joint Trade Policy Review was a very useful opportunity for Members to deepen their understanding of the economic, trade, and investment policies of Switzerland and Liechtenstein. I would like to thank the two delegations led by the State Secretary for Economic Affairs Mrs. Marie-Gabrielle Ineichen-Fleisch, for Switzerland, and Ambassador Peter Matt, for Liechtenstein, our discussant Ambassador David Walker, and the more than 50 delegations that

took the floor for their valuable contributions.

6.2. Members were generally impressed by the resilience demonstrated by the economies of Switzerland and Liechtenstein during the period under review in spite of strong economic headwinds. Both countries are trading nations and, as importers and exporters, depend on foreign

markets for their economic prosperity. Unemployment has remained low, and the economies had continued to expand, although the pace had been moderated by several factors, particularly the

appreciation of the Swiss franc and low productivity growth. The economic resilience was underpinned by a skilled workforce and flexible labour market; hi-tech production; an emphasis on research, development and innovation; good governance; and fiscal prudence.

6.3. I sensed a universal appreciation among the Membership for the consistent and staunch support of the rules-based multilateral trading system by both Switzerland and Liechtenstein. Their constructive contributions, provided by multiple formal and informal approaches including "Friends of the System", aim to ensure that the WTO remains relevant and strong in the fight against protectionism. Switzerland and Liechtenstein have consistently advocated further trade liberalization, and have taken active part in numerous initiatives to expand trade, including efforts

to promote the participation of micro, small, and medium sized enterprises in global value chains. In addition, Switzerland and Liechtenstein rely on an extensive network of trade agreements, mostly through the European Free Trade Association (EFTA), to complement their membership of the WTO.

6.4. Overall stability characterized the trade and investment regimes of Switzerland and

Liechtenstein for the period under review. As a consequence, the positive elements of their regimes continued to prevail, but conversely the concerns were mostly a repeat of what was said at the last Review in 2013.

6.5. On the positive side, the trade and investment regimes were generally open and liberal for

goods as well as for services. Tariffs on non-agricultural goods were as a general rule zero or very low on an MFN basis. Some Members highlighted that Switzerland and Liechtenstein had never resorted to trade defensive measures to remedy perceived imbalances, nor were they involved in dispute settlement cases inside or outside the WTO.

6.6. On the other side, among the general concerns, Members noted:

That the tariff regime is unique in its reliance on specific duties based on gross weight, and several delegations reiterated their recommendation that a more transparent ad valorem regime should be considered.

The agriculture sector remains a weak point both in terms of high domestic support and border protection in the form of high tariffs; tariff peaks for meat, horticultural goods, and dairy; seasonal duties; target import prices; and complex tariff quota systems that included allocations contingent upon local purchases. Although the Agricultural Policy 2014-17 involved a rearrangement and fine-tuning of direct payments, support remains

high, and some Members called for further market-oriented reforms.

Outside of agriculture, it was noted that state monopolies restricted investments in certain rail transport, postal and insurance services, and that competition could be enhanced in sectors such as telecommunications and construction services.

6.7. Several other aspects of the trade regime also attracted the attention of Members. The evolution of these policies and measures will be of continued interest to them, notably the reform of the Swiss food safety regime, implementation of the "Cassis de Dijon" principle to dismantle

technical barriers to trade, and the levying of fees relating to reserve stocks of certain commodities. Members took note that Switzerland will look for a solution where the contribution

fees to the guarantee funds exceed the tariff bindings, such as for rice and coffee. The recent


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introduction of "Swissness" legislation to enhance the Swiss brand at home and abroad, and the protection of copyright in a digital environment in Switzerland also attracted substantial interest.

6.8. Within the overall picture of stability, Members welcomed the introduction of some measures

that will further liberalize trade. The prompt ratification of the Trade Facilitation Agreement and the establishment of trade facilitation committees by Switzerland and Liechtenstein were appreciated. Tariff reductions stemming from the expanded Information Technology Agreement (ITA II) had been applied since 1 January 2017, and Switzerland had unilaterally suspended the MFN tariffs on certain textile items from 1 January 2016 for a period of four years.

6.9. Furthermore, Liechtenstein had been the first WTO Member to ratify the revised plurilateral Agreement on Government Procurement in 2013 but, as several Members noted, we are still looking forward to its formal acceptance by Switzerland. Members are also waiting for the completion of domestic procedures to eliminate export subsidies for processed agricultural

products in accordance with the Nairobi Ministerial Decision, and we welcome the statement made by the State Secretary that the Government has approved yesterday the necessary measures to

eliminate export subsidies by 1 January 2019, ahead of the Nairobi schedule.

6.10. Switzerland was complimented for its emphasis on sustainable development, including renewable energy. It recently introduced a ban on imports stemming from illegal, unreported, and unregulated fishing. Several Members pointed to the automatic exchange of information in tax matters, and the reinforcement of anti-money laundering legislation as positive steps for the

financial sectors of Switzerland and Liechtenstein. With regard to LDCs, beyond the longstanding commitment to the Enhanced Integrated Framework and the "Aid for Trade" initiative, positive developments included the termination in April 2016 of export subsidies on products for LDCs and participation in the Registered Exporter System (REX) to facilitate self-certification of origin.

6.11. Members noted with interest the Growth Agenda of the Swiss Government for 2016 to 2019, in particular its focus on enabling the digital economy and the streamlining of government regulations. The role of autonomous import liberalization as a means to enhance competitiveness

and labour productivity in the domestic market should not be underestimated, particularly given the relatively low rates of growth in productivity. Looking forward to further such initiatives, many Members underscored that the present high agricultural tariffs and some technical barriers to trade provided scope for substantial trade liberalization and would contribute to a significant reduction in

the "high-price island" effect experienced by Switzerland as well as Liechtenstein.

6.12. Finally, I would like to thank all those that participated in our discussion and Switzerland and Liechtenstein for their statements and the high quality of their replies to nearly 500 questions. I look forward to getting the answers to any outstanding questions within the next month, and

I hope that Switzerland and Liechtenstein can use this process to further improve their already generally open trade and investment regimes.

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