Swiss Watch Exports Drop 9.5% in May Under US Tariffs

Analysts warn that heightened trade duties will prolong pressure on luxury shipments as global demand softens.

Overview

Swiss watch shipments fell 9.5 per cent year-on-year in May to CHF2.1 billion, reversing April’s pre-tariff surge, the Federation of the Swiss Watch Industry reported.
Exports to the US, the sector’s largest market, plunged just over 25 per cent after Washington’s 10 per cent import tariff took effect and threats of a further rise to 31 per cent loomed.
Shipments to China, Japan and Hong Kong each recorded double-digit declines as consumer appetite for high-end timepieces cooled.
Vontobel analyst Jean-Philippe Bertschy attributes the downturn to ‘luxury fatigue’ compounded by escalating trade tensions.
RBC analysts forecast a 7 per cent decline in Swiss watch exports for 2025, citing tariff uncertainty and normalizing tourist flows.