Relationship dossier
Switzerland
United States
Relationship assessment
Close bilateral ties, with Swiss representation of U.S. interests in Iran and periodic disputes over banking and tax enforcement.
Switzerland toward United States
+45Switzerland has provided a concrete diplomatic service to the United States by acting as its protecting power in Iran since 1980, representing U.S. interests where the two countries lack direct diplomatic relations. Swiss authorities have also cooperated with U.S. tax enforcement through bilateral arrangements, though disputes over banking secrecy and U.S. investigations of Swiss banks have complicated that cooperation.
United States toward Switzerland
+35The United States has pursued practical tax cooperation with Switzerland, including the 2013 agreement facilitating implementation of the U.S. Foreign Account Tax Compliance Act. U.S. enforcement actions against Swiss banks, notably the 2009 UBS settlement, also brought significant pressure and friction to the relationship.
Overall relationship
+40The relationship is durably cooperative, supported by substantial economic connections and concrete diplomatic and tax cooperation. Switzerland's long-running protecting-power role for U.S. interests in Iran is a distinctive bilateral arrangement. Disputes over Swiss banking secrecy and U.S. tax enforcement have been consequential but have not displaced the broader cooperative structure.
How to read these scores
Scores are rough judgments, not objective measurements or current verification. Directional scores describe government policy and conduct, not public opinion. The overall score is an independent estimate, never an average.
- −100
- Extreme sustained hostility
- −50
- Substantially adversarial
- 0
- Mixed or neutral, supported by knowledge
- +50
- Substantially cooperative
- +100
- Exceptionally close sustained partnership
“Not assessed” means there is no recorded score. Pair existence makes no claim about diplomatic recognition or established relations.
Relationship context
Overview
Switzerland and the United States maintain a close, durable relationship that includes substantial economic ties and practical government cooperation. Switzerland has represented U.S. interests in Iran for decades, while bilateral cooperation has also included tax and law-enforcement arrangements. Disputes over Swiss bank secrecy and U.S. tax enforcement, including the UBS case, have periodically strained relations.
Areas of tension
- Swiss banking secrecy and U.S. efforts to investigate alleged tax evasion by U.S. taxpayers using Swiss banks.
- U.S. enforcement actions and penalties involving Swiss financial institutions, including the UBS case.
Key developments
Switzerland began representing U.S. interests in Iran as a protecting power.
The United States and UBS reached a deferred prosecution agreement resolving U.S. charges related to assistance to American clients evading taxes.
The two governments concluded an agreement facilitating Swiss implementation of the U.S. Foreign Account Tax Compliance Act.
Major uncertainties
- The current scope and implementation of bilateral tax and law-enforcement cooperation are unclear.
- The extent of recent cooperation beyond established economic and protecting-power arrangements is uncertain.