Switzerland is reeling from the announcement of a staggering 39% tariff imposed by the U.S. on imports, significantly impacting its key industries, particularly the luxury watch sector. This unexpected measure, described as among the highest tariffs in the world, has left Swiss officials and businesses in shock as they scramble to negotiate a solution. Economists warn that the increased costs could lead to skyrocketing prices on Swiss products in the U.S., including luxury watches and Nespresso pods, which may discourage consumers and threaten sales. The Swiss government has expressed disappointment and regret over the situation, with officials calling for dialogue to address the steep tariffs. As Switzerland celebrates its national day, the mood is dampened by the tariff blow, which has sparked confusion and anger across the country.