New labeling rule lets overseas goods wear Swiss cross, industry leaders protest

A newly clarified practice by the Swiss Institute of Intellectual Property enables the Swiss cross to be used on goods manufactured outside the country, provided they meet certain research or design criteria. The column, authored by Felco CEO Nabil Francis, contends that this dilutes the symbol’s promise of quality and jeopardizes the reputation of Swiss-made products. Francis stresses that companies should not exploit labels like “Swiss Engineering” when production is offshore, warning that such misuse could erode the incentive to keep factories and skilled jobs in Switzerland.

Recent developments, such as Kybun moving part of its shoe line to Italy and Zimmer Biomet’s restructuring that threatens up to 580 positions in Winterthur, illustrate the potential fallout. The Federal Council has suggested parliamentary initiatives to tighten the link between the cross and domestic manufacturing, but Francis argues one outlet approach weakens the very advantages it aims to protect. He calls for preserving the emblem’s integrity while still promoting Swiss innovation abroad.