ABB CEO Warns of EU Job Crisis.

The chief executive of Swiss engineering giant ABB has issued a stark warning about Europe’s economic future, saying excessive regulation and rising energy costs could threaten competitiveness and lead to significant job losses across the European Union.

In an interview with the Financial Times, ABB CEO Morten Wierod called on EU policymakers to accelerate reforms and reduce bureaucratic barriers that he believes are slowing economic growth. He warned that failure to act quickly could result in a much deeper economic crisis and widespread unemployment.

Wierod expressed frustration over the slow implementation of recommendations proposed by former European Central Bank President Mario Draghi. According to the ABB chief, many of the suggested reforms aimed at strengthening Europe’s competitiveness have remained largely unimplemented despite being discussed for nearly two years.

The ABB leader argued that Europe must go beyond simply simplifying regulations. He believes certain rules should be removed entirely to strengthen the EU’s internal market and encourage investment, innovation, and business expansion. According to Wierod, these measures would help stimulate economic growth and improve the region’s ability to compete globally.

He also raised concerns about new European initiatives designed to reduce dependence on foreign technologies. While supporting the goal of stronger European industries, Wierod warned that strict “Made in Europe” requirements could increase costs for businesses and consumers while creating unintended economic consequences.

Another major challenge highlighted by the ABB CEO is energy pricing. Europe continues to face higher energy costs than the United States, placing manufacturers at a competitive disadvantage. Wierod noted that recent geopolitical tensions and higher gas prices are expected to keep energy costs elevated through 2026 and 2027.

Despite these concerns, Wierod emphasized that Europe still possesses significant strengths, including a highly skilled workforce, world-class education systems, and strong crisis-management capabilities. He pointed to Europe’s rapid reduction in dependence on Russian gas as evidence of the region’s ability to adapt during difficult circumstances.

The ABB chief joins a growing number of European business leaders urging policymakers to act faster. Many industry executives believe reducing red tape, encouraging innovation, and lowering business costs are essential steps to ensure Europe remains competitive in the global economy and protects future employment opportunities.

Switzerland Reacts to New US Tariff Proposal.

Swiss President Guy Parmelin has stated that the Swiss government was not surprised by the United States’ proposal to introduce new tariffs of 12.5% on Swiss goods. He confirmed that Switzerland is currently engaged in ongoing negotiations with Washington to reach a balanced trade agreement.

Speaking at the Swiss Economic Forum (SEF) in Interlaken, Parmelin explained that Swiss authorities were already aware of investigations under Section 301 of the US Trade Act. He noted that the government had anticipated a decision regarding potential trade measures from the United States.

Parmelin, who also serves as Switzerland’s economics minister, emphasized that the Swiss government firmly rejects the criticisms made by the US in relation to its trade practices. He added that Switzerland has already responded to these concerns in written form as part of official diplomatic communication.

Despite the proposed tariffs, Swiss officials are continuing discussions with US representatives, aiming to protect key export sectors and maintain stable economic relations between the two countries. The negotiations are expected to focus on ensuring fair trade conditions and minimizing potential impacts on Swiss industries.

The announcement comes at a sensitive time for global trade relations, as countries continue to navigate economic uncertainty and shifting tariff policies. Switzerland, a highly export-oriented economy, is closely monitoring developments to safeguard its economic interests.

Authorities have reiterated their commitment to dialogue and diplomatic engagement, signaling that discussions with the United States will continue in the coming months.

Gunvor Offices Searched in Swiss Corruption Probe.

Swiss authorities have searched the Geneva headquarters of commodities trader Gunvor as part of an ongoing criminal investigation into suspected bribery involving foreign public officials.

The search was conducted by federal police in May on the orders of the Office of the Attorney General of Switzerland. The development became public after it was reported by the Swiss non-governmental organization Public Eye and later confirmed by Swiss authorities.

According to the Office of the Attorney General, the investigation remains active and authorities have provided only limited information. Officials emphasized that the presumption of innocence applies throughout the legal process.

Public Eye has raised questions about an oil contract allegedly concluded in Gabon in 2024. The organization claims that a parallel payment system may have been used to compensate intermediaries operating in Africa. These allegations are currently being examined within the broader investigation.

Gunvor has strongly rejected the accusations. The company stated that it has never seen or known of the contract referenced by Public Eye and accused the organization of exaggerating and misrepresenting information. Gunvor also emphasized that the company itself is not currently the direct target of the criminal proceedings and has pledged full cooperation with investigators.

The case comes as Gunvor faces renewed scrutiny due to previous corruption-related convictions in Switzerland. In 2019, Swiss authorities found the company criminally liable for corruption involving activities in Congo and Côte d’Ivoire. In 2024, the company was again found criminally liable in connection with corruption offenses linked to Ecuador.

Commodity trading remains one of Switzerland’s most important economic sectors, with Geneva serving as a major international hub for energy and commodity businesses. As a result, investigations involving large trading firms often attract significant public and regulatory attention.

Authorities have not announced when further information regarding the investigation will be released. The inquiry remains ongoing.

Swiss Economy Grows Slower Than Expected in Early 2026.

Switzerland’s economy recorded moderate growth during the first quarter of 2026, according to the latest figures released by the State Secretariat for Economic Affairs (SECO). The country’s real Gross Domestic Product (GDP) increased by 0.4% compared with the previous quarter after seasonal and special-event adjustments.

The result came in slightly below SECO’s preliminary forecast of 0.5% issued earlier this month. Despite the small downgrade, the latest figure still represents an improvement compared with the previous two quarters, which recorded growth rates of 0.2% and -0.4% respectively.

The main driver of economic expansion was Switzerland’s industrial sector. Industrial value added increased by a strong 1.3%, marking one of the sector’s best performances in recent quarters after a prolonged period of modest growth.

In contrast, the service sector showed only limited momentum. Growth in services reached just 0.2%, with several industries reporting mixed results. Retail and trade activities experienced declines, reflecting cautious consumer behavior and weaker domestic spending.

Private consumption remained largely stagnant, contributing to weak domestic demand. Overall domestic final demand rose by only 0.1%. Government expenditure helped support economic activity, increasing by 0.9% during the quarter.

SECO noted that Swiss GDP figures are adjusted to remove the impact of major international sporting events. Organizations such as the International Olympic Committee and several global sports federations are based in Switzerland, and their licensing revenues can significantly influence economic statistics. Without these adjustments, first-quarter GDP growth would have reached 0.7%.

While growth remains positive, the latest figures suggest that Switzerland’s economic recovery continues at a measured pace. Strong industrial performance is helping to offset weaker consumer spending, but economists will continue to monitor domestic demand and global economic conditions closely in the coming months.

The latest data indicate that Switzerland remains on a stable economic path, though challenges linked to consumer confidence and international market uncertainties continue to influence growth prospects.

Foreign Investment in Switzerland Drops in 2025.

Foreign investment in Switzerland declined significantly in 2025 as global companies slowed expansion plans across Europe. According to a recent report released by EY, the number of foreign investment projects in Switzerland dropped by nearly 24%, falling to only 84 projects during the year.

US companies, which remain the largest foreign investors in Switzerland, also reduced their investment activities. The report showed that investment projects from American firms declined by 7% compared to previous years. Economic uncertainty, geopolitical tensions, and changing global trade policies influenced many companies to delay or reduce expansion plans.

Across Europe, investment activity also weakened. Total foreign investment projects across European countries fell by 7%, reaching the lowest level recorded in the last eleven years. Analysts believe that rising energy costs, inflation pressures, geopolitical instability, and economic concerns continue to affect investor confidence throughout the continent.

Despite the decline, Switzerland continues to maintain its strong reputation as an important business destination in Europe. Experts highlight that the country still offers major advantages such as political stability, legal security, a skilled workforce, advanced infrastructure, and an attractive tax system for international companies.

According to André Bieri from EY, Switzerland still acts as a “gateway to Europe” for many US companies. Businesses continue to value Switzerland for its strategic location and reliable economic environment even during uncertain global conditions.

France and the United Kingdom ranked among the most attractive investment destinations in Europe during 2025, while Germany secured third place. Switzerland ranked 13th overall in Europe for foreign investment projects.

Economic experts warn that ongoing geopolitical developments and support programs introduced in the United States could continue to impact investment activity in Europe, including Switzerland. However, Switzerland’s strong financial system and international business environment may help the country recover investment growth in the coming years.