Swiss Economy Posts Strong Growth in Q2

The Swiss economy showed strong growth in the second quarter of this year, according to estimates released by the State Secretariat for Economic Affairs (SECO). The economy grew by 1.5% compared to the previous quarter, which is a significant increase from the 0.55% growth seen in the first quarter.

The strongest impetus for growth came from the chemical and pharmaceutical industry, with value added rising significantly in this sector. However, other sectors such as manufacturing, financial services, and transport also showed growth, albeit at a slower pace.

Exports, excluding transit trade, rebounded strongly by 9.7% during the period under review, following a decline of 1.2% in the previous quarter. Investment in capital goods also picked up, accelerating by 0.8% after a decline of 1.2%. However, private consumption remained sluggish, showing only a modest increase of 0.3%.

This growth is described as 'the strongest GDP growth since the third quarter of 2021' by federal economists at SECO. The strong performance of the chemical and pharmaceutical industry is notable, given uncertainties surrounding US tariffs.