Study: Swiss watch industry shows resilience in face of US tariffs

Swiss watch industry faces problems due to US tariffs Keystone-SDA

The Swiss watch industry is facing difficulties in the face of US tariffs. However, according to a study by the consulting firm Deloitte, the industry has proved resilient so far.

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Import duties of 39% on Swiss watches have been in force in the US since August 2025. This is a blow to the watch industry’s most important export market. Added to this are the strong franc, falling demand in other regions and increasing price sensitivity among customers, as Deloitte writes in the study published on Wednesday.

Last year, watches worth CHF4.4 billion ($5.5 billion) were exported to the US. The largest export market for Swiss watches accounted for almost 17% of global Swiss watch exports.

Higher prices

However, the industry has proved resilient so far: according to Deloitte, the value of exported watches fell by a comparatively slight 1% between January and August 2025 compared to the previous year.

According to the management consultant, this is a sign that large purchases and stockpiling took place before the US tariffs were introduced. However, the tariffs are likely to lead to substantial price increases for leading Swiss brands in the USA, the study predicts. This could severely dampen demand there in the future.

New markets

However, there are also rays of hope. For example, the market for second-hand watches is developing dynamically. Around 40% of Generation Z respondents stated that they were planning to buy a second-hand watch.

The industry also sees growth potential in India and Mexico. While India continues to boom with a 7% increase in exports, Mexico is establishing itself as a new centre in Latin America with exports of CHF337 million last year.

The study is based on interviews with 111 industry leaders and 6,500 people in 13 countries, according to the report.

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Translated from German by DeepL/jdp

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