The FH (Federation of the Swiss Watch Industry) accepted a strengthening of the Swiss Made label for watches.
The result of the vote was expected: by 52 votes to 8, the Federation of the Swiss Watch Industry (FH) voted on 28 June to tighten up the conditions under which the Swiss Made label can be used. Thus, a mechanical watch will be required to have at least 80% of its manufacturing cost derived from operations carried out in Switzerland (60% for electronic quartz watches). The FH will now approach the federal authorities to request an adaptation of the ordinance on trade mark protection. This strengthening, desired by Nicolas G. Hayek in the first place and by the big names in Swiss watchmaking, does not please the independent manufacturers in the middle and lower ranges. These, who largely source their cases and dials in South-East Asia, would then be forced to do so in Switzerland at prices five times higher to retain the Swiss Made label. Which would, of course, force them to raise their selling prices. "In addition," explains Ronnie Bernheim, brand manager of Mondaine, "they would have to take into account delivery times that are three times longer! For Bernheim, the games are not yet over. "It is far from being closed. I am confident that the Federal Council will study the implications well. You have to know that the Trade Mark Protection Act clearly speaks of a 50% percentage. There is no reason for the ordinance to be more restrictive, except for those who want to monopolise the Swiss Made label. On the other hand, the European Union, which will also have to give its endorsement under free trade agreements, seems to think that the criteria taken into account are protectionist in nature. For me,' concludes Ronnie Bernheim, 'these conditions are arbitrary and tailored to the needs of a few big brands, especially in the luxury sector.
Source: www.lematin.ch
