Switzerland’s economy grew just 0.1% qoq in Q2, in line with expectations, as SECO noted that the “anticipated correction” followed above-average growth earlier this year. Industrial output and exports contracted sharply, while services posted broad-based gains.
SECO also issued an updated scenario reflecting the drag from new U.S. tariffs on Swiss imports, warning the economy is now likely to expand more slowly than previously projected.
The Federal Government’s June forecast had already pointed to below-average growth, with GDP seen at 1.3% in 2025 and 1.2% in 2026. The revised simulation now pegs growth at just 1.2% in 2025 and 0.8% in 2026, citing the August introduction of higher tariffs.
While a severe recession is not anticipated, SECO warned that the impact could be significant for exporters and certain industries exposed to U.S. demand.
