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Swiss Tradesmen Reject Foreign Materials Due to Costs & Liability Issues

by Victoria Sterling -Business Editor

Swiss construction firms are increasingly facing a dilemma: homeowners are seeking cost savings by sourcing building materials – from climate control systems to kitchen components – from abroad, but many contractors are refusing to install them. A recent survey by the Swiss platform Ofri reveals that 34 percent of craft businesses are receiving requests to install materials purchased from outside Switzerland, yet over half (51 percent) are declining such work.

The core of the issue revolves around liability and quality control. When homeowners supply the materials, contractors relinquish the ability to verify their quality or ensure they meet Swiss standards. Despite this, the responsibility for the installation and any subsequent problems, remains with the contractor. “If there are problems later, it is often unclear whether it is due to poor material or the installation,” Ofri explains.

Beyond liability, Swiss tradespeople cite concerns about non-compliance with Swiss norms, quality deficiencies, and difficulties securing replacement parts as reasons for rejecting these projects. Incorrect dimensions, missing components, and inadequate documentation are also contributing factors, leading to rework and project delays.

Specific product categories are proving particularly problematic. Sanitary objects, windows and doors, parquet flooring, kitchens, air conditioning units, and photovoltaic systems are all flagged as areas of high risk. Philipp Noranil of Hustechnik GmbH, cited by Ofri, illustrates the issue with inexpensive bathroom fixtures often sourced from abroad. “The connection standards or threads usually don’t fit the wall connections customary in Switzerland. The extra work ends up costing the customer three times as much,” he says.

The financial implications of these cost-cutting measures can be significant. Ofri points to a case involving windows purchased for approximately CHF 30,000. However, necessary adjustments to the building structure to accommodate the imported windows resulted in additional costs of around CHF 15,000. This highlights a recurring theme: initial savings can be quickly eroded by unforeseen complications.

The trend reflects broader economic pressures and a desire among homeowners to reduce expenses. However, it also underscores the importance of a holistic approach to construction projects. Martin Bonauer, an Ofri construction supervisor, advises homeowners to consult with their chosen contractor *before* ordering any materials. “The key for homeowners is to never order anything without having discussed it with the executing craft business first,” he states.

This situation also touches upon the broader context of Switzerland’s economic landscape and its relationship with international trade. While Switzerland unilaterally abolished import duties on most industrial goods from , as noted by KPMG, the practical challenges of integrating foreign-sourced materials into Swiss construction projects remain. The abolition of duties was intended to reduce costs for both consumers and companies, but it appears to be creating unintended consequences for the construction sector.

Switzerland’s position as a commodity trading hub, impacted by the war in Ukraine and subsequent EU sanctions, as reported by PublicEye.ch, may be contributing to the search for alternative sourcing options. The adoption of EU sanctions has affected Switzerland’s role as a trading center, potentially driving some consumers to seek cheaper materials from non-EU sources.

The issue also intersects with the ongoing discussion surrounding supply chain due diligence, as highlighted by Baker McKenzie. Swiss businesses are facing increasing pressure to ensure responsible sourcing and compliance with evolving regulations in both Switzerland and the EU. While the Ofri survey doesn’t directly address supply chain due diligence, it illustrates the practical difficulties that can arise when materials are sourced from outside established supply chains.

The Swiss Product Liability Act, contract law, and tort law, as outlined in Chambers Global Practice Guides, provide a legal framework for addressing product defects, and liability. However, the complexities of cross-border sourcing and the potential for disputes over material quality add another layer of risk for both contractors and homeowners. The fact that contractors are proactively refusing to install homeowner-supplied materials suggests a growing awareness of these risks and a desire to protect their businesses from potential legal challenges.

the situation highlights a tension between cost savings and quality assurance in the Swiss construction market. While homeowners may be tempted by lower prices, the potential for hidden costs, liability issues, and project delays suggests that a more collaborative approach – involving early consultation with contractors and a focus on compliant, high-quality materials – is essential for successful building projects.

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