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An exceptionally closed Council of States sends a clear message to Brussels: with its last threat, the EU has crossed a border.
"Not enough" is the progress made in the negotiations on a framework agreement between Switzerland and the EU. The Vice President of the European Commission called him in a letter made public yesterday. "For the moment," the Swiss stock exchange must therefore expect that they will no longer be recognized by the EU from next year.
Threat of Brussels rejected
This blatant threat from Brussels with the aim of forcing Switzerland to give in to the framework agreement rejects the clear decision of the Council of States. A renewed contribution from Switzerland to some EU Member States amounting to 1.3 billion Swiss francs (the second "cohesion billion") would only be paid if the EU does not did not take "discriminatory measures" against Switzerland.
The Federal Council and the Parliament clearly consider that the non-recognition of the Swiss stock exchange is discrimination. With good arguments: the Swiss Stock Exchange would indeed meet the conditions for definitive recognition, which the EU itself also determined last year.
The Council of States strengthens the support of the Federal Council
It is worth noting the unity that the little chamber protested forcefully against the Brussels address for the day. Only the green Robert Cramer of Geneva opposed it. Even the truly EU-friendly SP can no longer send funds to EU member states when Brussels unscrews its opposite vis-à-vis Switzerland.
The Council of States therefore supports the Federal Council, which will decide tomorrow or Friday in a week if it has to conclude a framework agreement with the EU. The state government tends to be rejected. The decision of the small chamber should confirm it.
Decision against discriminatory measures of the EU
Above all, the Council of States' common position must also be understood as a sign for the Swiss people. With the rejection of "the initiative of self-determination" last Sunday, the majority of the electorate has maintained the observance of international treaties as the supreme principle. It is unlikely that the Parliament will now reward discriminatory measures taken by the EU against Switzerland in financial terms.
As much as the renewed offer of cohesion to the EU is above all a gesture of goodwill. Although Brussels repeatedly repeats that payment constitutes, so to speak, the "price of entry" into the EU internal market.
Given that the EU has sold significantly more goods to Switzerland over the past year than the other way around (the trade deficit with the EU has exceeded 15 billion francs in 2017), this reasoning seems reasonably constructed. In the same vein, Migros and Coop could in the future also request the admission of their customers, as they are allowed to shop in their stores.
Philipp Burkhardt
Head of the Federal Chamber Office, SRF
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