Unexpected boom in Europe — which country's economy has sharply risen

Switzerland's economy grew by 1.5% in the second quarter of 2026 compared to the previous quarter, marking the fastest pace since the recovery from the COVID-19 pandemic. The main driver was the chemical-pharmaceutical sector, which accounted for about two-thirds of GDP growth. The acceleration was supported by strong export figures, partly linked to early shipments of pharmaceutical products to the US ahead of the introduction of 15% tariffs on July 31, 2026.

Switzerland's economy grew by 1.5% in the second quarter of 2026 compared to the previous quarter, marking the fastest growth pace since the recovery from the COVID-19 pandemic. The result significantly exceeded the first quarter's figure, when growth was only 0.4%. According to the preliminary estimate of the Swiss State Secretariat for Economic Affairs, the main growth driver was the chemical-pharmaceutical sector, which accounted for about two-thirds of the total GDP increase. Service sector industries also made a positive contribution. Unusually high export figures are partly explained by Swiss companies having increased pharmaceutical shipments to the US ahead of the introduction of American tariffs of 15%, which took effect on July 31, 2026. The current surge in pharmaceutical exports is considered partly a temporary effect, but other economic indicators point to an improvement in underlying economic activity. The strong second-quarter data could lead to an upward revision of the country's economic growth forecasts. Previously, growth of 1.2% was forecast for 2026 and 1.4% for 2027. A full assessment of GDP data is expected on September 3, when an update of official forecasts will also be considered.