Sales in the Swiss tech industry rose moderately by 3.0% in the third quarter of 2025 compared to the same period last year. However, this increase should not be overestimated, as the comparison period was very weak. Viewed over the first nine months of the year as a whole, revenues actually fell by 0.7%. The sales growth observed in the third quarter can primarily be attributed to large companies, with SMEs remaining under severe pressure: their sales decreased by 9.0%.
Order intake grew by 5.4% during the third quarter of 2025 relative to the prior-year quarter. Here too, a base effect in the form of a very weak prior-year quarter distorts the picture. Overall, incoming orders stagnated between January and September 2025 (+0.1%). Capacity utilisation within companies continued to decline, standing at 80.7% in the third quarter and thus well below the long-term average of 86.2%.
Significant slumps in US and Asian business, growth in exports to the EU
In the third quarter of 2025, the negative impact of the US tariffs was felt in full. Relative to the same quarter 12 months earlier, exports by the tech industry to the US were down by 14.2%. Machine tool manufacturers, i.e. those responsible for producing traditional capital goods, were hit particularly hard (-43%).
Overall, global goods exports increased by 4.0% in the third quarter compared to the same period in 2024. Calculated over the first three quarters of the year, however, export volumes stagnated (+0.6%). The stabilisation in export volumes was thanks solely to a renewed increase in exports to the EU (+2.9%). Exports to Asia (-4.9%) and the US (-3.8%) declined significantly in some cases. The same trend was also evident in the third quarter of 2025 (EU: +9.6% / Asia -0.4% / US -14.2%). In terms of individual product groups, exports increased during the third quarter in the areas of electrical engineering / electronics (+5.4%), metals (+3.7%) and precision instruments (+1.2%). By contrast, exports fell further in the mechanical engineering sector (-2.7%).
No turning point in sight
The business situation in the Swiss tech industry remains very tense. “The slight uptick in orders and sales in the third quarter of 2025 should not mask the difficult overall situation, as it is based on an extremely weak prior-year quarter,” warns Swissmem Director Stefan Brupbacher. “And even if the US tariffs are actually lowered, this alone will by no means solve the problems we face.” This is due to persistent global uncertainties, which continue to significantly dampen demand for capital goods. The strength of the Swiss franc also remains a major challenge. It has appreciated significantly this year, especially against the US dollar.
It is therefore difficult to predict developments over the coming months. The values of the Purchasing Managers’ Index (PMI) for industry do not point to an increase in growth momentum. The only impetus is expected to come from India and, to a lesser extent, from the EU. This is also reflected in the expectations of Swissmem member companies: only 27% of companies expect rising orders from abroad over the next 12 months. By contrast, 31% of companies anticipate that orders will fall, with the remaining 42% of firms expecting order levels to remain the same.
The federal government and Parliament must act: strengthen the competitiveness of the export industry!
The business performance of the highly export-oriented tech industry reflects the difficult global political and economic situation. “Switzerland can hardly influence the international environment. However, the federal government and Parliament can – and must – improve the framework conditions for the export industry. And it needs to do so urgently!,” emphasises Swissmem President Martin Hirzel. In the upcoming winter sessions, Parliament will have the opportunity to finally conclude the revision of the Federal Act on War Material. This would facilitate the export of defence goods under clearly defined conditions. It is also essential to swiftly ratify the free trade agreements with the Mercosur states, Thailand and Malaysia and to improve the existing agreements with China, Japan and Mexico. But that alone will not suffice. “At least as important is reducing location and production costs in Switzerland. The greatest lever lies in cutting bureaucracy and reducing costs – under no circumstances should ancillary wage costs rise further. This would immediately strengthen the competitiveness of the export industry, especially benefiting SMEs, which currently find themselves under heavy pressure,” adds Martin Hirzel.
For further information please contact:
Noé Blancpain, Member of Management and Head of Communications & Public Affairs
Tel. +41 44 384 48 65 / mobile +41 78 748 61 63
E-mail n.blancpainnoSpam@swissmem.ch
Philippe Cordonier, Member of Management and Head of Swissmem Romandie
Tel. +41 44 384 42 30 / mobile +41 79 644 46 77
E-mail p.cordoniernoSpam@swissmem.ch