Brexit Continues to Buoy Swiss Watch Exports

RAPAPORT… Swiss watch exports rose 4.4% to CHF 1.74 billion ($1.72
billion) in March as UK retailers continued to stockpile in preparation for
Brexit.



“The UK was a special case once again, because of
stockpiling in the run-up to Brexit,” the Federation of the Swiss Watch
Industry reported last week. “Other European markets continued to lose ground.”



Exports to the UK rose 76% to CHF 134.7 million ($132.9
million). Asia also showed strong growth for the month, with supply to China
climbing 17% to CHF 141.6 million ($139.7 million) and Japan jumping 22% to CHF
137.1 million ($135.3 million). Orders to Hong Kong increased 2.5% to CHF 236.2
million ($233 million), and shipments to the US grew 6% to CHF 187.4 million
($184.8 million).


Top-price watches enjoyed the strongest growth. Orders of
watches priced above CHF 3,000 ($2,961) rose 13% by value. Exports of those
worth CHF 500 ($493) to CHF 3,000 fell 5%, while those priced between CHF 200
($197) and CHF 500 slipped 1.7%. Supply of products valued under CHF 200
plunged 25%.


Similarly, exports of watches made from precious metals rose
11% to CHF 556 million ($548.4 million), and those comprising gold and steel
grew 12% to CHF 292.6 million ($288.6 million). Shipments of timepieces made of
steel remained nearly flat, inching up 1% to CHF 659.9 million ($650.9
million), while supply of watches made from other metals increased 4.4% to CHF
82 million ($80.9 million).


Exports rose 2.9% to 5.16 billion ($5.09 billion) for the
first quarter, from January to March.

Image: Swiss watches in a store display in Geneva. (Shutterstock)