On & Swissness: Looser Rules for the Swiss Cross on Products

by Chief Editor

Swiss Made, Globally Worn: How the “Swissness” Rules Are Changing

For years, the coveted “Swiss Made” label has been a symbol of quality, and precision. But what does it really mean? Recent changes to Swissness regulations, spurred by a high-profile dispute with sports brand On, are redefining the criteria for using the Swiss cross on products sold worldwide.

The On Dispute: A Catalyst for Change

The core of the issue revolved around On, a Swiss shoe manufacturer that produces its footwear primarily in Asia. Despite being designed and engineered in Switzerland, the company was previously barred from displaying the Swiss cross on its shoes sold domestically, as it didn’t meet the requirement of 60% of production costs being incurred within Switzerland. This sparked a years-long debate with authorities, escalating to involve legal threats and even scrutiny from Chinese officials.

The Eidgenössische Institut für Geistiges Eigentum (IGE) – the Swiss Institute for Intellectual Property – has now loosened its interpretation of the rules. The change avoids a potentially damaging legal battle and acknowledges the realities of modern global manufacturing.

What’s Changing with “Swissness”?

The updated regulations allow companies like On to utilize the Swiss cross if their products meet certain conditions. Crucially, the cross must be presented in context, such as alongside the phrase “Swiss Engineering.” Strict guidelines regarding placement and size will also be enforced.

This isn’t a complete abandonment of Swiss manufacturing standards. The IGE emphasizes that the change reflects a broader understanding of Swiss value creation, recognizing innovation, research, and development as equally important components alongside production.

Beyond On: Implications for Other Industries

Whereas the On case brought the issue to a head, the IGE insists this isn’t a special rule for a single company. The revised guidelines are intended to benefit the entire Swiss economy, particularly in a challenging global landscape.

The IGE highlighted the pressures facing Swiss businesses due to the strong Swiss franc and international tariffs. The new rules aim to support companies that maintain key aspects of their operations – like design and engineering – within Switzerland, even if manufacturing takes place elsewhere.

This could have significant implications for industries like watchmaking, where components are often sourced internationally, and other sectors reliant on global supply chains.

Navigating the New “Swissness” Landscape

Consumers will demand to be more discerning when looking for genuinely Swiss-made products. The IGE is introducing a two-tiered system:

  • Traditional Swiss Cross: For products meeting the original 60% manufacturing cost requirement.
  • “Swissness Light”: A Swiss cross accompanied by clarifying text, such as “Swiss Engineering,” indicating a focus on Swiss design and innovation.

The IGE states the new system ensures the “Swissness light” designation isn’t misinterpreted as a claim of full Swiss production.

On’s Response and Future Outlook

On has welcomed the revised regulations, calling it a “modern understanding of Swissness.” The company believes the change acknowledges the reality of contemporary Swiss value creation.

The long-term effects of this shift remain to be seen. It will be crucial to monitor how companies utilize the new guidelines and whether consumers perceive a difference in value between products bearing the traditional Swiss cross and those with the “Swissness light” designation.

Der On-Schuh, wie er auf der Website von On selbst in der Schweiz gezeigt wird – ohne Schweizerkreuz.

FAQ: The New Swissness Rules

  • What triggered the change in Swissness regulations? A dispute between the Swiss authorities and the shoe manufacturer On regarding the use of the Swiss cross on products made in Asia.
  • What does “Swissness light” mean? It indicates that a product was designed or engineered in Switzerland but manufactured elsewhere.
  • Will products still need to meet any criteria to use the Swiss cross? Yes, strict guidelines regarding placement and size will be enforced, and the cross must be used in context (e.g., “Swiss Engineering”).
  • Is this change only for On? No, the IGE states the revised guidelines apply to all Swiss companies.

Do you prioritize Swiss-made products when shopping? Share your thoughts in the comments below!

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