Bolstering China-Switzerland ties through Premier Li Qiang's visit

Editor's note: Moulik Jahan, a special commentator on current affairs for CGTN, is a strategic and security affairs analyst. The article reflects the author's opinions and not necessarily the views of CGTN

Chinese Premier Li Qiang is making an official visit to Switzerland recently, underscoring the significance and acknowledgment of the expanding bilateral relationship between China and Switzerland.

Since fostering tighter bilateral ties was one of the primary goals of this significant visit, bilateral relations between the two nations will gain fresh impetus and reach a new level in 2024 and the years to come.

Li simultaneously joins the significant annual meeting of the World Economic Forum in 2024 and states China's answers to several urgent global concerns as well as the global economic recovery. Li's attendance at the World Economic Forum in Davos opened the door for collaboration in advancing globalization and trade liberalization through a multilateral approach.

It is important to remember that both nations have a long history of pursuing peace. Since both of them live in unstable times with seemingly endless crises, cooperation may depend on the advancement of multilateralism and a rules-based international order. As the two countries prepare to commemorate their 75th anniversary of diplomatic relations in 2025, they should both use the chance to further multilateralism by serving as the headquarters of several international organizations.

Among the first Western nations to establish diplomatic ties with China, Switzerland was also the first nation in Europe and among the top 20 economies to negotiate a free trade agreement. China and Switzerland have had cordial, long-lasting bilateral ties built on mutual respect and solid cooperation.

Li met with Swiss President Viola Amherd aboard a special train from Zurich to Bern on January 15. China and Switzerland decided to expand their collaborations across several industries. In exchange for Switzerland providing easy access to visa procedures for Chinese nationals and businesses, they agreed to expedite the start of formal FTA upgrade negotiations, finish a joint feasibility study on upgrading the China-Switzerland Free Trade Agreement (FTA), and waive the requirement that Swiss nationals obtain a visa.  

As the first nation in Europe and among the top 20 economies to do so, Switzerland signed an FTA with China in 2013. This meant that 99.7 percent of Chinese exports to Switzerland would be free of tariffs, while 84.2 percent of Swiss exports to China would also be free of duties. As the Free Trade Agreement (FTA) yields mutual benefits, it is imperative to upgrade the trade agreement.  

China and Switzerland have closer economic ties than ever before. After years of consistent expansion, in the first 11 months of 2023, bilateral commerce between China and Switzerland climbed by 6.3 percent annually to over 54.34 billion yuan, with China's imports from Switzerland rising by 11.8 percent annually.

With reference to Switzerland's land of opportunity, natural landscapes, ecological environment, innovative capabilities, and high-quality "made in Switzerland" goods, Li emphasized Switzerland's important role in China's reform and opening-up process. Li's visit was warmly received by Amherd, who noted that Swiss businesses had performed well in China in terms of expansion and investment.

Beneath the statistics, Swiss and Chinese businesses are becoming more interested in partnering with businesses in each other's nations. Through local subsidiaries, several Swiss businesses have been making profitable direct investments in China. The foundations of the Swiss economy, small and medium-sized enterprises, are progressively showing an increased interest in doing business in China.

Along with exchanging ideas on a variety of topics, the two parties decided to foster collaboration in the areas of scientific research and technical innovation, green development, finance, energy and education, tourism, and winter sports. Somehow, these consensuses represent how the two countries' ties will develop going forward.

Future developments in our economic relations will probably be influenced by increased innovation and technological cooperation between the public and commercial sectors in both nations. Both countries should use this chance to express their heartfelt wishes for continued prosperity in China-Switzerland relations.  

In doing so, it is not only seeking to retain their development momentum but to continue to provide collaboration chances to each other and give greater energy to bilateral growth.

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