Summary: The Bilateral Agreements II were signed in 2004, extending Switzerland-EU cooperation by nine further agreements. The centrepiece is the association with Schengen and Dublin, approved by voters in 2005. Unlike the Bilateral Agreements I, these agreements are not linked by a guillotine clause.
Following the entry into force of the Bilateral Agreements I in 2002, the Federal Council sought to deepen cooperation with the EU. The negotiations took place against the backdrop of the 2004 EU enlargement, when ten new Member States joined the Union. Switzerland linked the extension of the free movement of persons to the new EU members with the negotiations on the Bilateral Agreements II [1].
On 26 October 2004, nine agreements were signed in Luxembourg. Unlike the Bilateral Agreements I, they are not linked by a guillotine clause -- each agreement stands on its own [1].
The Schengen Agreement is the most politically significant of the Bilateral Agreements II. It was approved on 5 June 2005 in a popular vote with 54.6 per cent voting Yes and entered into full force on 12 December 2008 [2].
Key points:
The Dublin Agreement regulates responsibility for processing asylum applications. Basic principle: the state where an asylum seeker first enters the Schengen area is responsible for processing the asylum application. This prevents multiple applications in different states [2].
The agreement on the taxation of savings income entered into force in 2005. It was replaced in 2017 by the agreement on the Automatic Exchange of Information (AEOI), under which Switzerland adopted the international standard for the exchange of financial account information [1].
This agreement enables cooperation between Switzerland and the EU in combating smuggling, tax fraud and other forms of cross-border economic crime [1].
The agreement reduces price disparities for processed agricultural products (e.g. chocolate, biscuits, soups) and facilitates trade [1].
Switzerland became a member of the European Environment Agency (EEA) and gained access to the European Environment Information and Observation Network (EIONET) [1].
The Statistics Agreement harmonises the collection and dissemination of statistical data between Switzerland and the EU [1].
The MEDIA Agreement enabled Switzerland's participation in the EU film support programme. Participation was not renewed after 2014, however, as the EU linked it to progress on institutional questions [1].
This agreement regulates the taxation of pensions of retired EU officials residing in Switzerland [1].
The Schengen association is the most important agreement of the Bilateral Agreements II for several reasons:
| Aspect | Significance |
|---|---|
| Freedom of travel | No systematic border checks for 420 million people in the Schengen area |
| Security | Access to SIS with over 90 million alerts [3] |
| Tourism | Switzerland as part of the Schengen visa system for third-country nationals |
| Police cooperation | Cross-border cooperation in law enforcement |
Schengen has a special institutional dynamic: as an associated state, Switzerland must adopt developments in the Schengen acquis. This is a form of dynamic adoption of law that already existed before the Bilateral Agreements III [3].
| Feature | Bilateral I | Bilateral II |
|---|---|---|
| Guillotine clause | Yes (all 7 linked) | No (independent agreements) |
| Adoption of law | Static | Partially dynamic (Schengen) |
| Popular vote | Yes (FMPA, 2000) | Yes (Schengen, 2005) |
| Focus | Market access, economy | Security, cooperation |
| In force | 2002 (simultaneously) | 2005-2009 (staggered) |
The Bilateral Agreements II extended cooperation with the EU into new areas -- the Schengen/Dublin association in particular fundamentally changed security cooperation and travel. At the same time, the fundamental institutional weakness of the bilateral relationship remained: the absence of a uniform dispute resolution mechanism and systematic legal alignment.
[1] FDFA (2026). The Bilateral Agreements II. Federal Department of Foreign Affairs. [Open Access]
[2] Fedlex: Schengen Association Agreement, SR 0.362.31. Classified Compilation of Federal Legislation. [Open Access]
[3] SEM (2026). Schengen/Dublin -- Significance for Switzerland. State Secretariat for Migration. [Open Access]
Last updated: March 2026