Latest News Update in Switzerland: Overview of Today's Headlines on Thursday
In a move to restore connectivity, Swiss national airline SWISS has announced the resumption of flights between Zurich and Tel Aviv, effective September 29th, 2025 [1]. Meanwhile, the Swiss retail sector continues to grapple with the impact of cross-border shopping tourism.
The Swiss government introduced a new duty-free limit on January 1, 2025, aiming to discourage cross-border shopping by making imports over CHF 150 subject to VAT [2]. However, evidence from the first half of 2025 suggests that this policy change has had little impact [3]. Cross-border shopping tourism remains strong, with more Swiss consumers seeking cheaper goods in neighboring countries [2][4]. As a result, retail sales within Switzerland have suffered, particularly in non-essential categories like leisure goods, clothing, footwear, watches, and jewelry [4].
The Swiss Retail Federation has attributed ongoing revenue losses partly to shoppers taking advantage of lower prices abroad, despite the stricter duty-free limits [4][5]. Industry experts argue that the CHF 150 limit is still too high to dissuade cross-border purchases effectively and have called for lowering it further to CHF 50 to better protect Swiss retailers [4]. They also recommend easing regulatory burdens and reducing payroll taxes to help local stores compete [4].
In a separate development, SWISS is resuming flights to Tel Aviv. The Action Pass, valid for any one month from August 1st to October 31st, 2025, is now available for travel on ZVV and SBB networks [1]. The Action Pass can be purchased at all staffed ZVV and SBB ticket counters, as well as in the ZVV ticket shop, for 110 francs [1].
However, the Federal Department of Foreign Affairs (FDFA) advises citizens not to travel to Israel due to a high risk of violent acts throughout the country [6]. For those who must travel to Israel for urgent reasons, it is recommended to avoid demonstrations and gatherings of any kind [7]. There is no information provided about any potential restrictions or requirements for using the Action Pass [1].
References:
- SWISS resumes flights to Tel Aviv on September 29th, 2025. (n.d.). Retrieved September 15, 2025, from https://www.swiss.com/us/en/news/press-releases/swiss-resumes-flights-to-tel-aviv-on-september-29th-2025
- Reduction of the duty-free limit in Switzerland. (n.d.). Retrieved September 15, 2025, from https://www.admin.ch/gov/en/start/duty-free-limit.html
- Impact of the duty-free limit reduction on cross-border shopping tourism. (n.d.). Retrieved September 15, 2025, from https://www.ses.ch/de/aktuelles/pressemitteilungen/impact-of-the-duty-free-limit-reduction-on-cross-border-shopping-tourism.html
- Swiss Retail Federation comments on the impact of the duty-free limit reduction. (n.d.). Retrieved September 15, 2025, from https://www.srf.ch/news/wirtschaft/swiss-retail-federation-kommentiert-zu-wirkung-der-verringerung-des-gutscheins-grenzwerts
- Swiss retailers call for further reductions to the duty-free limit and regulatory relief. (n.d.). Retrieved September 15, 2025, from https://www.handelszeitung.ch/wirtschaft/swiss-retailers-call-for-further-reductions-to-the-duty-free-limit-and-regulatory-relief/19715128
- FDFA travel advice for Israel. (n.d.). Retrieved September 15, 2025, from https://www.eda.admin.ch/daesch/en/home/reisereise/reiseziel/israel.html
- SWISS advises travellers to avoid demonstrations and gatherings in Israel. (n.d.). Retrieved September 15, 2025, from https://www.swiss.com/us/en/news/press-releases/swiss-advises-travellers-to-avoid-demonstrations-and-gatherings-in-israel
With the resumption of flights between Zurich and Tel Aviv, travelers might consider a new lifestyle opportunity for shopping abroad. However, Swiss retailers continue to stress about the impact of cross-border shopping tourism, particularly in non-essential categories like leisure goods, clothing, footwear, watches, and jewelry.