The effects of the coronavirus leave striking traces in our networked and global activities. The Federation Board of Swiss Textiles today discussed a comprehensive picture of the impact on the industry. Many companies have already had to announce short-time working. Loss of sales, delays in delivery and cancellations were or are unfortunately on the daily agenda.
Companies that are active in the fashion sector, either directly in the retail sector or as suppliers to the retail trade, have been particularly hard hit. "We are observing that pressure is being passed on within the supply chains," says Swiss Textiles Director Peter Flückiger. "What is needed now is the understanding and goodwill of all those involved in this extraordinary situation," says Flückiger.
Even in this extraordinary situation we need an economy that functions as well as possible.
Prevent complete shutdown
The Federation Board of Swiss Textiles maintains that the closure of industrial manufacturing sites or complete shutdown must be prevented wherever possible. Many companies, especially in industrial production, are still working to capacity. "Even in this extraordinary situation we need an economy that functions as well as possible," says Carl Illi, President of Swiss Textiles. This is important to safe jobs even after the crisis. The companies are obliged to implement the federal hygiene and distance regulations.
Support from the government
Swiss Textiles supports the comprehensive relief package approved by the Federal Council, including simplified access to credit to bridge liquidity gaps, administrative simplification and the extension of short-time working compensation. It is essential that this be approved and implemented as soon as possible by the Finance Delegation of the Federal Councils.
In addition to the immediate measures, medium to long-term economic policy relief is needed, such as the abolition of import duties on industrial goods, the implementation of the new PEM rules of origin, or more legal certainty in the medical devices sector.