Swiss defence firms face a stark choice as export law reforms loom
At a forum in Yverdon, representatives of Switzerland's defence sector warned that the new export law leaves them only with relocation or closure as viable options.
Representatives of Switzerland's defence industry convened in Yverdon for a meeting organized by the Groupe romand pour le matériel de défense et de sécurité (GRPM). They highlighted that the recent reform of the law governing military exports, passed by parliament in December 2025, creates only two realistic paths: relocating production facilities overseas or ceasing operations entirely. While the reform permits certain exemptions for sending arms to conflict zones and for re-exporting, industry participants contend that the overall regulatory environment remains hostile.
They pointed to a significant rise in defence exports the previous year as evidence of the sector's growth potential, which now risks being undermined. The forum's timing is notable, as a national vote on the export law is scheduled in the coming weeks. Attendees called for clearer policy guidance to preserve both economic viability and national security interests.
Why it matters
The outcome will determine whether Switzerland's defence industry can stay domestic or must move abroad, affecting jobs and national security.
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