The economy Industrial SMEs continue to face headwinds
Small and medium-sized companies in the mechanical and electrical engineering industries (MEM) remain in a difficult situation. According to the Swissmechanic Economic Barometer, three out of four MEM companies rate their current situation as unfavorable, as they did in October.
25.02.2026, 08:52
SDA
There are no signs of a recovery. The main reasons for this are weak demand, the persistently strong Swiss franc and the shortage of skilled workers.
The reduction in US tariffs to 15 percent from 39 percent has also only brought limited relief, Swissmechanic reported on Wednesday. For the majority of companies, this does not mean a turnaround, but merely a moderate improvement in business prospects.
Index already negative for 11 quarters
Swissmechanic's quarterly SME MEM business climate index stood at -30 points in January. Although it improved slightly compared to October (-37), this is the eleventh consecutive quarter with a negative sign.
The order situation remains the biggest concern for 63% of the companies surveyed. Around 40% of companies recorded a year-on-year decline in incoming orders and turnover in the fourth quarter. Almost half of the companies also saw their operating profit margin fall.
Investment problem
37% of companies are suffering from exchange rate fluctuations and 26% from the shortage of skilled workers. According to the umbrella organization, uncertainty among companies remains high overall. Due to financial constraints, around a quarter of companies are also unable to make the necessary investments.
"Our SMEs are showing great perseverance. But stabilization at a low level is not yet a recovery," said Nicola Tettamanti, President of Swissmechanic, in the press release. He reiterates his earlier calls for reliable framework conditions and political stability.
