Switzerland's economic growth slowed to 0.1% in Q2 2025, hit by new US tariffs and a drop in exports.

Switzerland's economy grew by a mere 0.1% in Q2 2025, a sharp slowdown from Q1's 0.7%. This deceleration is mainly due to a drop in manufacturing and exports, with the services sector showing resilience. The Swiss Economic Council now predicts GDP growth of 1.2% for 2025 and 0.8% for 2026, citing the impact of new 39% US tariffs on Swiss imports. These tariffs pose significant challenges to export-heavy sectors like watchmaking, machinery, and food.