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This paper shows that in order to maintain its position the Swiss government offered Germany concessions on merchandise trade when necessary, but Switzerland was far from being under German control during the Second World War. Germany provided Switzerland with excess imports to exports while paying higher prices for Swiss goods. Although the levels of trade were considerably smaller due to geographic restrictions, Switzerland gave the Allies favourable terms of merchandise trade, in particular after 1943, in exchange for the continued recognition of Swiss independence. This is consistent with, but not necessarily explicit in the current literature. As a result of these findings, this paper concludes, from a merchandise trade perspective, Swiss neutrality was a policy of pragmatic self-preservation.

Swiss Trade with the Allies and the Axis Powers during the Second World War