High-End Watches Drive Export Growth

RAPAPORT… Swiss-watch exports grew 12% in June amid an upturn in
demand for higher-priced products.



Global shipments of Swiss timepieces came to $1.95 billion
(CHF 1.94 billion) for the month, the Federation of the Swiss Watch Industry
reported last week.


Exports of watches with a wholesale price above $3,024 (CHF
3,000) saw the strongest growth, climbing 17%. Shipments of timepieces
valued between $504 (CHF 500) and $3,024 increased 9%.


“Exports rose strongly in June, improving on the average
figure reported in previous months,” the federation noted. As a result,
first-half shipments exceeded the $10.08 billion (CHF 10 billion) mark, which
has not happened since 2015, it added.


Demand for lower-priced goods weakened, with exports of watches
priced under $504 seeing a substantial downturn, the federation said. Shipments
of pieces under $202 (CHF 200) slid 10%, while those priced between $202 and
$504 dropped 6%.


Watches containing gold and steel remained popular, with
exports up 18% to $302.6 million (CHF 300.2 million), while supply of
precious-metal timepieces climbed 12% to $625.4 million (CHF 620.4 million).
Those increases slightly outweighed a decline in shipments of watches from
metals other than precious ones or steel, which dropped 3% to $91.4 million
(CHF 90.7 million). Exports of timepieces made from materials other than metal rose
24% to $54.3 million (CHF 53.9 million).


Total exports to Hong Kong jumped 39% to $272.5 million (CHF
270.3 million), while supply to China rose 4% to $124.9 million (CHF 123.9
million), a slowdown compared with the 6% increase the market saw in May. Shipments
to the US grew 6% to $190.9 million (CHF 189.4 million). Exports to France saw
the strongest growth out of the major markets, jumping 41% to $131 million (CHF
130 million).



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