Swiss engineering industry is facing a downturn

The Swiss mechanical and electrical engineering industries and related technology sectors continue to face an uncomfortable situation. However, there are increasing signs that the bottom of the downturn will be reached this year. In the first quarter of 2024, member companies' sales and orders fell by 5.4% and 2.3% respectively compared to the same quarter of the previous year. Exports of goods fell by 8.5%, as the business association, Swissmem, reported on Wednesday. The business situation in the industry remains challenging, according to Swissmem, although turnover at smaller companies (SMEs) fell less sharply overall than at large companies. At 85.5%, capacity utilisation was below the long-term average of 86.2% for the first time since the third quarter of 2021. However, the association also says there are positive signs. As the order situation was very good in the same period of the previous year, the renewed decline in orders conceals the fact that incoming orders from ...