Story Highlight
– Swiss watch exports to the US fell 24% in August.
– US tariff on Swiss watches increased to 41%.
– Year-to-date US exports still up 19% overall.
– China and Hong Kong exports also decline sharply.
– European markets show relative stability amidst global downturn.
Full Story
In August, Swiss watch exports to the United States saw a significant decrease of 24%. This decline follows the announcement on August 8 by President Trump, who increased tariffs by an additional 29% with minimal notice. This decision stemmed from a brief and troubling conversation with Swiss president Karin Maria Keller-Sutter, resulting in a total tariff rate of approximately 41% for Swiss watches entering the U.S.
In comparison, Swiss watches face a mere 2% tariff when imported into the United Kingdom or European Union countries. Despite the August drop, Swiss watch exports to the U.S. have risen by nearly 19% for the year to date, though this figure represented a larger increase of 24% at the end of July.
Concerns are growing among Swiss manufacturers over the possibility of other international markets offsetting losses in the U.S. market. For instance, exports to mainland China plummeted by 36% year-on-year in August and are down 19% from January to August 2025. Similarly, the situation is grim for exports to Hong Kong, which reported an 11% decline this year. Japan’s exports have also diminished by 6% year-on-date, despite a shopping surge in the previous year driven by its weaker currency.
In contrast, Europe and the UK appear to be maintaining steadiness amid these challenges. Year-to-date exports of Swiss watches to the UK have declined by a modest 3%, although August alone witnessed a steep 20% decrease. Exports to France and Germany are down by approximately 5% for the first eight months of the year, while figures for Italy remain unchanged year-on-year.
Globally, Swiss watch exports have seen a slight decline of 1% so far this year. Notably, markets such as Spain, Turkey, India, and Saudi Arabia are providing some respite against the downturn witnessed in key Asian regions, including the United States.
