Despite their physical distance and cultural differences, Switzerland and Japan have long enjoyed a close and productive relationship, with both countries sharing a reputation for innovation, precision, and high-quality products and services. In recent years, Japanese companies have been increasingly drawn to Switzerland as a destination for business, attracted by the country’s highly skilled workforce, advanced research facilities, and strong business culture.
Japan is one of the eight priority countries of Swiss foreign policy for the period 2020-23.
Japan is Switzerland’s third largest trading partner in Asia after China (including Hong Kong) and India. The Agreement on Free Trade and Economic Partnership between the Swiss Confederation and Japan, which entered into force on 1 September 2009, was the first free trade agreement signed by Japan with a European country.
The two countries engage in regular dialogue on financial matters in order to coordinate financial policy positions. Tourism and image promotion are two other important aspects of Switzerland’s economic relations with Japan.
The Swiss Business Hub in Tokyo promotes Switzerland as a location for business.
One of the main reasons why Japanese companies are interested in doing business in Switzerland is the country’s reputation for innovation and quality. Switzerland is home to many world-renowned companies in industries such as pharmaceuticals, finance, and luxury goods. Japanese companies recognize this and see Switzerland as a country that values innovation and quality as much as they do.
Another key factor is Switzerland’s highly skilled and educated workforce. The country has a strong tradition of vocational training and apprenticeships, which means that Swiss workers are highly trained and have a reputation for being reliable and efficient. Japanese companies appreciate this, as they also place a high value on skilled and dedicated workers.
In addition to the workforce, Switzerland is also home to a number of world-class research institutions and universities. This has made the country a hub for research and development in a number of industries, including biotech and medical research. Japanese companies are eager to take advantage of this, and many have set up research partnerships and joint ventures with Swiss institutions in order to access the latest research and technology.
One area where Japan and Switzerland have a particularly strong relationship is in the field of finance.
Switzerland is known for its stable economy and strong financial institutions, which has made it an attractive destination for Japanese banks and financial firms. Many Japanese companies also use Swiss banks to manage their finances and investments.
Of course, doing business in Switzerland also comes with its challenges. The country’s strict regulatory environment can be a barrier to entry for some companies, and the high cost of living and doing business in Switzerland can also be a challenge. However, for Japanese companies that are willing to invest the time and resources, Switzerland can be a highly rewarding and lucrative market.
In conclusion, the relationship between Japan and Switzerland is a strong one, built on a shared appreciation for innovation, quality, and precision. Japanese companies are increasingly drawn to Switzerland as a destination for business, and are finding a welcoming and supportive environment in which to thrive. As the relationship between these two countries continues to grow and evolve, we can expect to see even more Japanese companies establishing a presence in Switzerland in the years to come.
At CONSAVO, we are specialized in assisting Japanese owned businesses accessing the Swiss and European market. Our services include conducting market analysis, incorporation, relocation, recruitment of staff, payroll, accounting, tax & legal consulting as well as social insurance advice.