European veto on strengthening Swiss Made

Veto europeo al rafforzamento dello Swiss Made

It has been discussed for a long time and Switzerland is finally moving in the direction of strengthening the Swiss Made rules. However, the latest news is that Brussels opposes a possible strengthening of the Swiss Federal Council's ordinance on the use of the Swiss name for watches, the famous 'Swiss made'. This proposal, made by the Swiss Watch Federation (FH) in order to restore credit to a very often compromised and outdated designation, would be judged by the European Union as a protectionist measure: "a restriction of the free trade agreement between Switzerland and the European Union is not authorised", according to Ulrich Trautmann of the European Commission's Directorate General for External Relations. In other words, Switzerland cannot act unilaterally and will have to negotiate with Europe again. But pressure is also coming from the Standing Committee of European Watchmaking (CPHE). According to its president Jean-Louis Burdet, Switzerland is not completely independent in the handling of this dossier, as it is based on the 1972 free trade agreement signed between the two parties.

To be marked 'Swiss Made' under the new conditions proposed by the FH, watches would have to fulfil a new value criterion. For mechanical watches, a minimum of 80% of the manufacturing costs would have to represent operations made in Switzerland (as opposed to 50% under the current regulations), and for electronic watches, 60%.

A consideration published on the website gives food for thought hautehorlogerie.orgwhich speaks of a five-year period for all manufacturers to adapt to these new standards...

But it is at the general assembly of the FH on 28 June that the final text will be stopped. With criticism from Brussels, the procedure thus promises to be long-term and fraught with obstacles.

Source: sonntagszeitung.ch.

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