¶ Bilateral III Dispatch -- Overview

Source: Dispatch 26.023, Overview (pp. 4--6)
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¶ Summary

The Switzerland-EU package (Bilateral III) stabilises the proven bilateral path with Switzerland's most important trading partner. In the face of growing global instability, regulated relations with the EU are a strategic necessity. The targeted development of these relations in selected areas safeguards and strengthens Switzerland's central interests.

¶ Context

The EU, accounting for approximately 60 per cent of trade in goods, is by far Switzerland's most important trading partner. External studies commissioned by the Federal Council show that the Switzerland-EU package would have an overall positive impact on the Swiss economy. This conclusion is also shared by a large majority of consultation participants.

The world is becoming more unstable and unpredictable. Global developments -- great power competition, erosion of international law, geopolitical fragmentation, climate change, developments in information technology and the energy sector -- have direct implications for Switzerland. Regulated relations with the immediate neighbourhood are a strategic necessity for security, prosperity and independence.

¶ Content of the proposal

The Switzerland-EU package (Bilateral III) is an expression of the continuity of the tailor-made relations between Switzerland and the EU. It consists of two parts:

¶ Stabilisation component

• Institutional elements: Anchoring of interpretation, surveillance, dynamic adoption of law and dispute settlement in the five existing internal market agreements (free movement of persons, MRA, land and air transport, partially agriculture)
• State aid: Incorporation of equivalent EU state aid provisions in the relevant internal market agreements and in the new electricity agreement, with Switzerland's own supervisory structures
• Further adjustments: Updating of existing agreements (free movement of persons, MRA, land transport, air transport, agriculture)

¶ Development component

• New internal market agreements: Electricity and food safety (incl. institutional elements and state aid)
• New cooperation agreement: Health (with analogous application of institutional elements)
• Cooperation agreements: Research/education and space
• Swiss contribution: Regular, legally binding contribution to selected EU member states

¶ Further cooperation

• High-level dialogue and institutionalised parliamentary cooperation
• Joint declaration with transitional rules (end of 2024 until entry into force)

¶ Constitutionality and referendum

The agreements safeguard the constitutional competences of the cantons, the Federal Assembly, the Federal Council, the courts and the people. The rights of initiative and referendum guaranteed by the Federal Constitution (Art. 136(2) FC) are fully ensured. A popular initiative against the adoption of relevant EU law remains possible; likewise, a referendum may be launched when law is adopted.

¶ Key figures

¶ Subpages

• Context: Swiss European Policy
• Options Examined and Package Approach
• Course of Negotiations
• Consultation Procedure and Results
• Political and Economic Assessment

¶ References

[1] Dispatch 26.023 on the Switzerland-EU package (Bilateral III), 13 March 2026

[2] FDFA: Switzerland-EU package