Swiss Watch Exports Dragged Lower by Sharp Downturn in U.S. Exports — Update

By Andrea Figueras

Exports of watches made in Switzerland slumped in September as trade tensions continued to drive down sales in the U.S. market.

Total exports of Swiss timepieces amounted to 1.99 billion Swiss francs ($2.32 billion) in September, 3.1% lower than in the same period last year, according to data published Tuesday by the Federation of the Swiss Watch Industry, or FH.

The drop was driven by a 56% plunge in exports to U.S., one of the most important markets for Swiss watches, and deepens a trend started in August, when exports to the country fell 24%. The downturn corrects a major increase in exports earlier in the year, when wholesale importers scrambled to stock up on watches before steep tariffs threatened by President Trump took effect. At the end of July, Washington announced unexpectedly steep tariffs of 39% to goods made in Switzerland, which runs a large trade deficit with the U.S.

The export figures reflect "continued reversal of pull-forward of shipments to the U.S. ahead of 39% tariffs for Switzerland," Citi luxury-goods analyst Thomas Chauvet wrote. Overall, goods exports from Switzerland to the U.S. increased 43% last month, according to Swiss government data also released Tuesday, suggesting the downturn for watchmakers hinged on issues specific to the industry.

Still, excluding the drop in U.S. exports, Swiss watch exports rose by 7.8% on year in September, the FH said. Most markets had marked increases in September, with exports to mainland China and Hong Kong climbing around 18% and 21%, respectively, a positive sign for the overall luxury industry.

Despite bright spots, the watch sector continues to face a challenging backdrop clouded by U.S. trade policy.

"The sector approaches the holiday season amid geopolitical tensions, U.S. tariffs, and subdued consumer sentiment," Vontobel analyst Jean-Philippe Bertschy wrote in a research note. For the first nine months of the year, Swiss-watch exports recorded an overall decrease of 1.2%.

Swiss jeweler and watchmaker Richemont, home to brands such as Vacheron Constantin and Piaget, will publish results for its fiscal first half on Nov. 14.

Write to Andrea Figueras at andrea.figueras@wsj.com

(END) Dow Jones Newswires

October 21, 2025 08:01 ET (12:01 GMT)