European countries, particularly Germany, are increasingly avoiding or halting arms purchases from Switzerland due to restrictions linked to the country’s neutrality policy, Swissinfo.ch reports. This trend is straining diplomatic relations and raising concerns about the future of Switzerland’s defense industry.
The Netherlands was the first country to start avoiding Swiss war matériel. The Dutch parliament decided last year to stop purchasing any arms from Switzerland after the Swiss blocked the export of 96 Leopard-1 tanks stored in Italy, intended for Ukraine. Similar considerations are being made in Spain and Denmark, media reports suggest.
According to Le Temps‘s report in early September, Germany has decided to exclude Swiss companies from certain military procurement contracts. This decision was communicated in a letter to the Federal Office for Defense Procurement, Armasuisse. The move has alarmed Swiss defense companies and prompted criticism from politicians across all parties.
The root of the German-Swiss rift lies in Switzerland’s refusal last year to allow the export of 12,400 rounds of Gepard anti-air tank ammunition to Ukraine. Switzerland based its decision on its War Matériel Act, which prohibits the re-export of Swiss-made weapons to countries involved in active conflict.
Armasuisse chief Urs Loher stated that this is a clear signal that Switzerland is no longer seen as “reliable” in Germany. In the German parliament, the term “Swiss Free” is reportedly being used alongside “China Free,” a catch phrase for minimizing security risks, according to the Swiss German newspaper NZZ.
Security experts warn that if Swiss companies cannot export their products, it could ultimately hurt Switzerland’s own defense capabilities and reduce its autonomy. Critics, however, argue that Swiss security autonomy is an illusion, as the country benefits disproportionately from the security provided indirectly by NATO and the EU.
The Swiss parliament agreed to amend the War Matériel Act, proposing more flexible arms deals and re-export rules after five years. However, a referendum expected by late 2025 means Swiss-made weapons won’t reach Ukraine before 2026, even if approved.
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