Talk about good neighbors!
Swiss firms set a new record in 2018, investing around €10 billion in German companies. That represented a whopping 50% increase over 2017, according to the German-Swiss Chamber of Commerce.
All in all Swiss companies hold around €39 billion in direct investments, usually in the form of shares in German companies.
There were four reasons for the rise in Swiss interest in Germany. Swiss companies are seeking to improve their market position in their big neighbor to the north. They want to relocate some of their production abroad. They also want to remake their value chain to reduce costs. And finally they are using subsidiaries within the EU to access cheaper sources.
Germany is the most important import and export country for Switzerland, and Switzerland is Germany’s fourth largest investor after the Netherlands, Luxembourg and Britain.