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EU-Switzerland: Council Adopts Mandate For Negotiations On Future Relationship

Government

Council of the European Union

The aim of the negotiation is to modernize and deepen bilateral relations between the EU and Switzerland, to ensure fair competition between EU and Swiss companies operating within the internal market, and to guarantee the protection of the rights of EU citizens in Switzerland, including preventing discrimination between citizens of different member states. The mandate also addresses Switzerland’s concerns by allowing limited exceptions to alignment with EU rules in the areas of free movement of persons, the posting of workers, and rail and road transport.

The key elements of the package include:

  • institutional provisions to be included in existing and future agreements with Switzerland related to the internal market, providing for dynamic alignment with the EU acquis, uniform interpretation and application, and dispute resolution
  • state aid provisions to be included in existing and future agreements related to the internal market
  • an agreement allowing for Switzerland’s participation in EU programs, including Horizon Europe
  • an agreement on Switzerland's permanent financial contribution to social and economic cohesion in the EU as a counterpart to its participation in the internal market
  • relaunch of negotiations on agreements on electricity, food safety and health

Negotiations on the different elements of the package will be conducted in parallel.

Next steps

On the basis of the mandate, the Commission will now be able to engage in formal negotiations with Switzerland on the broad package of measures. The negotiations are expected to start in the coming days.

The Commission will report on progress in the negotiations to the Council. 

Background

In May 2014, the Council authorized the opening of negotiations between the EU and Switzerland on an institutional framework agreement governing bilateral relations. The European Commission and Switzerland finalized the draft text of an institutional framework agreement in November 2018. In May 2021, Switzerland unilaterally terminated negotiations on this agreement.

In February 2022, the Swiss Federal Council proposed an alternative way forward for relations between the EU and Switzerland, consisting of a broad package of measures, including institutional elements to be included in each bilateral agreement related to the internal market. Exploratory talks between the Commission and representatives of Switzerland's Federal Council followed on the basis of this alternative approach. On 15 December 2023, the Commission and the Federal Council published a Common Understanding that provides a written record of the outcome of the exploratory talks.

The EU mandate has been agreed in line with this Common Understanding, reflected in the Commission’s recommendation for a mandate, presented on 20 December 2023.

The mandate builds on the 2014 mandate for an institutional framework agreement as well as earlier mandates for agreements on electricity, health, food safety and the participation of Switzerland in the European Union Agencies for the Space Program and for Railways.

The Swiss Federal Council approved Switzerland’s negotiating mandate on 8 March 2024.