In the first quarter of 2025, construction activity in
Switzerland totalled CHF 4.7 billion, a small increase of 0.4%
compared to the previous year. New orders increased by 1.9%. For
the year as a whole, master builders expect moderate growth in
construction activity of around 1.1% despite the global
uncertainties resulting from the US tariff discussions.
Residential construction is performing better than expected.
At CHF 4.7 billion, construction activity in Switzerland in the
first quarter of 2025 was up slightly by 0.4% on the previous
year. New orders increased by 1.9%. For the year as a whole,
master builders are expecting moderate growth in construction
activity of around 1.1% despite the global uncertainties
resulting from the US tariff discussions. Residential
construction is performing better than expected.
Commercial construction has decreased by CHF 40 million, which
corresponds to a drop of 7% compared to the first quarter of
2024. The international trade conflicts are clouding the outlook
for the Swiss economy going forward. However, construction
activity is proving to be fundamentally stable; the customs
discussions have not yet had any noticeable impact. For example,
building materials have not become more expensive.
Public building construction performed strongly in the first
quarter, both in terms of incoming orders (+34%) and
construction activity (+23%). Residential construction performed
surprisingly well in the first quarter of 2025. At CHF 1.7
billion, sales were up 2.4% on the previous year. A decline in
construction activity was expected. It is particularly pleasing
that an increase of 11% was recorded for new orders. This means
that the increased number of building applications from 2024 is
gradually being reflected in the order books.
The Swiss Association of Master Builders anticipates that new
flats will only gradually come onto the market from the second
half of the year. However, the number of newly built flats is
too low to cover the demand for additional living space. A
vacancy rate of less than 1% therefore seems likely.
Source:
Lignum Journal
