Chinese Commerce Minister Wang Wentao met Guy Parmelin, president of the Swiss Confederation and head of the Federal Department of Economic Affairs, Education and Research, in Bern, capital of Switzerland, on August 20, 2026. Photo: MOFCOM website

China and Switzerland have announced the completion of the upgrade negotiations for the China-Switzerland free trade agreement (FTA) and signed a Memorandum of Understanding, China's Ministry of Commerce (MOFCOM) said in a statement on Friday.

The two sides launched FTA upgrade negotiations in September 2024. Thanks to joint efforts and five rounds of consultations, the upgrade negotiations have been successfully concluded. The two sides committed to achieving higher-standard two-way opening in goods, services, investment, rules and other areas, which will create new opportunities for bilateral economic and trade cooperation, according to MOFCOM.

In an international environment full of uncertainties, this demonstrates the two sides' clear commitment to choosing certainty and supporting free trade, Wang Wentao, Chinese Commerce Minister, said during a meeting with Guy Parmelin, president of the Swiss Confederation and head of the Federal Department of Economic Affairs, Education and Research, in Bern, capital of Switzerland, on Thursday, according to the statement.

By achieving higher-standard two-way opening in areas such as goods, trade, investment, and rules, the FTA will open up broader space for China-Switzerland cooperation in science, technology, and other fields, Xin Hua, director of the Center for European Union Studies at Shanghai International Studies University, told the Global Times on Friday.

"The two sides can deepen cooperation in areas such as joint R&D, facilitating the translation of new technologies into tangible business opportunities and injecting fresh impetus into cooperation," Xin said, pointing to the two sides' complementary advantages in emerging technologies such as artificial intelligence.

Meanwhile, although Switzerland is not an EU member state, as a major financial hub in Europe with numerous high-value-added industries, it also serves as a strategic bridgehead for China to strengthen its economic and trade ties with Europe, Xin said.

The China-Switzerland FTA was signed in July 2013 and entered into force in July 2014. It was the first FTA that China signed with a continental European country. Following the completion of this upgrade negotiation, the two sides vowed to expedite their respective domestic procedures so that the upgrade protocol can be formally signed at an early date.

Wang said that the MOFCOM stands ready to work with the Federal Department of Economic Affairs, Education and Research to implement the important consensus of the two countries' leaders, finalize and implement the upgraded agreement as soon as possible, promote the qualitative upgrade of bilateral economic and trade relations, and better benefit the enterprises and peoples of both countries.

For his part, Parmelin said that Switzerland and China enjoy close cooperation and vibrant economic and trade relations, and the Swiss government and business community attach great importance to economic and trade cooperation with China, according to the MOFCOM's statement.

Switzerland is ready to take the FTA upgrade as an opportunity to continuously expand trade and investment cooperation with China, deepen the innovative strategic partnership, and continue to provide Chinese enterprises operating in Switzerland with an open, fair and non-discriminatory business environment, Parmelin said, per the statement. 

The FTA has played an important role in bilateral cooperation. The successful upgrade of the agreement is another important milestone in the development of bilateral relations. It will provide more stable, transparent and predictable institutional guarantees for the long-term development of enterprises of both countries, and send a positive signal that the two sides are advancing open cooperation, free trade, and the maintenance of a rules-based international economic and trade environment, Parmelin said.