Latest news with #Bertschy
Fashion Network
27-05-2025
- Business
- Fashion Network
Swiss watches see 18% shipping boom ahead of possible Trump tariffs
Swiss watch exports surged by almost a fifth in April, as shipments to the United States more than doubled ahead of potential expanded tariffs announced by President Donald Trump. According to the Federation of the Swiss Watch Industry, total exports rose 18% for the month, reaching 2.5 billion Swiss francs ($3 billion). Exports to the U.S.—the industry's single largest market—spiked by 149%. 'This is the result of early shipments prompted by the announcement of U.S. tariffs,' said Jean-Philippe Bertschy, an analyst at Vontobel. Watches made from precious metals, steel, and bimetallic materials—all targeted by Trump—saw the strongest growth. In contrast, exports to the rest of the world declined by 6.4%, continuing a weak trend from earlier in the year. Bertschy added that the sharp U.S. increase was likely a one-time reaction from exporters looking to avoid higher tariffs, not a sign of long-term demand growth. Trump imposed a 10% tariff on imports from Switzerland in early April and has since threatened a 31% surcharge if a new trade agreement is not reached. The deadline is currently set for July 9, although it may be extended. Any increase would have a significant impact on the watch industry. Performance in Asian markets remained sluggish. April exports to Singapore declined 9%, fell 30% in China, and dropped 23% in Hong Kong. During the most recent earnings season, major luxury groups including Richemont, LVMH and Hermès reported declines in watch sales. 'The rise of 'luxury fatigue,' a declining 'feel-good factor' from luxury purchases, and worsening consumer sentiment all contribute to a less optimistic outlook,' Bertschy noted.
Fashion Network
27-05-2025
- Business
- Fashion Network
Swiss watches see 18% shipping boom ahead of possible Trump tariffs
Swiss watch exports surged by almost a fifth in April, as shipments to the United States more than doubled ahead of potential expanded tariffs announced by President Donald Trump. According to the Federation of the Swiss Watch Industry, total exports rose 18% for the month, reaching 2.5 billion Swiss francs ($3 billion). Exports to the U.S.—the industry's single largest market—spiked by 149%. 'This is the result of early shipments prompted by the announcement of U.S. tariffs,' said Jean-Philippe Bertschy, an analyst at Vontobel. Watches made from precious metals, steel, and bimetallic materials—all targeted by Trump—saw the strongest growth. In contrast, exports to the rest of the world declined by 6.4%, continuing a weak trend from earlier in the year. Bertschy added that the sharp U.S. increase was likely a one-time reaction from exporters looking to avoid higher tariffs, not a sign of long-term demand growth. Trump imposed a 10% tariff on imports from Switzerland in early April and has since threatened a 31% surcharge if a new trade agreement is not reached. The deadline is currently set for July 9, although it may be extended. Any increase would have a significant impact on the watch industry. Performance in Asian markets remained sluggish. April exports to Singapore declined 9%, fell 30% in China, and dropped 23% in Hong Kong. During the most recent earnings season, major luxury groups including Richemont, LVMH and Hermès reported declines in watch sales. 'The rise of 'luxury fatigue,' a declining 'feel-good factor' from luxury purchases, and worsening consumer sentiment all contribute to a less optimistic outlook,' Bertschy noted.
Business of Fashion
27-05-2025
- Business
- Business of Fashion
Swiss Watch Exports Jump in April Ahead of Threatened US Tariffs
Swiss watch exports jumped by almost a fifth in April as shipments to the US more than doubled ahead of expanded tariffs threatened by President Donald Trump. Total shipments rose 18 percent to reach 2.5 billion Swiss francs ($3 billion) for the month, according to the Federation of the Swiss Watch Industry, with exports to the US, the single biggest market, up a whopping 149 percent. This is the 'result of early shipments prompted by the announcement of US tariffs,' said Jean-Philippe Bertschy, an analyst at Vontobel. Watches made from precious metals, steel and bimetallic materials, products also targeted by Trump, saw the most growth. Exports fell 6.4 percent to the rest of the world, continuing a weak start to the year. The US jump was likely a one-off response by exporters seeking to avoid higher tariffs, rather than a structural increase in demand, Bertschy said. Trump imposed a 10 percent levy on imports from Switzerland in early April, and has threatened a 31 percent surcharge if a new trade deal isn't reached, though the July 9 deadline could be extended. The watch industry would be hit hard by any increase. Asian markets displayed further weakness, with exports to Singapore falling 9 percent, China off 30 percent and Hong Kong down 23 percent. In the latest earnings season luxury players including Richemont, LVMH, and Hermès reported sales drops in watches. 'The rise of 'luxury fatigue,' a declining 'feel-good factor' from luxury purchases, and worsening consumer sentiment all contribute to a less optimistic outlook,' according to Bertschy. By Allegra Catelli Learn more: Swiss Watch Industry Sees Tough Times Ahead Over Trump Tariffs Shares in European luxury companies have dropped since Trump announced 31 percent tariffs on goods from Switzerland and 20 percent on goods from the EU.
Fashion Network
27-05-2025
- Business
- Fashion Network
Swiss watches see 18% shipping boom ahead of possible Trump tariffs
Swiss watch exports surged by almost a fifth in April, as shipments to the United States more than doubled ahead of potential expanded tariffs announced by President Donald Trump. According to the Federation of the Swiss Watch Industry, total exports rose 18% for the month, reaching 2.5 billion Swiss francs ($3 billion). Exports to the U.S.—the industry's single largest market—spiked by 149%. 'This is the result of early shipments prompted by the announcement of U.S. tariffs,' said Jean-Philippe Bertschy, an analyst at Vontobel. Watches made from precious metals, steel, and bimetallic materials—all targeted by Trump—saw the strongest growth. In contrast, exports to the rest of the world declined by 6.4%, continuing a weak trend from earlier in the year. Bertschy added that the sharp U.S. increase was likely a one-time reaction from exporters looking to avoid higher tariffs, not a sign of long-term demand growth. Trump imposed a 10% tariff on imports from Switzerland in early April and has since threatened a 31% surcharge if a new trade agreement is not reached. The deadline is currently set for July 9, although it may be extended. Any increase would have a significant impact on the watch industry. Performance in Asian markets remained sluggish. April exports to Singapore declined 9%, fell 30% in China, and dropped 23% in Hong Kong. During the most recent earnings season, major luxury groups including Richemont, LVMH and Hermès reported declines in watch sales. 'The rise of 'luxury fatigue,' a declining 'feel-good factor' from luxury purchases, and worsening consumer sentiment all contribute to a less optimistic outlook,' Bertschy noted.
Business Times
27-05-2025
- Business
- Business Times
Swiss watch exports jump in April ahead of threatened US tariffs
[ZURICH] Swiss watch exports jumped by almost a fifth in April as shipments to the US more than doubled ahead of expanded tariffs threatened by President Donald Trump. Total shipments rose 18 per cent to reach 2.5 billion Swiss francs (S$3.9 billion) for the month, according to the Federation of the Swiss Watch Industry, with exports to the US, the single biggest market, up a whopping 149 per cent. This is the 'result of early shipments prompted by the announcement of US tariffs,' said Jean-Philippe Bertschy, an analyst at Vontobel. Watches made from precious metals, steel and bimetallic materials, products also targeted by Trump, saw the most growth. Exports fell 6.4 per cent to the rest of the world, continuing a weak start to the year. The US jump was likely a one-off response by exporters seeking to avoid higher tariffs, rather than a structural increase in demand, Bertschy said. Trump imposed a 10 per cent levy on imports from Switzerland in early April, and has threatened a 31 per cent surcharge if a new trade deal isn't reached, though the July nine deadline could be extended. The watch industry would be hit hard by any increase. Asian markets displayed further weakness, with exports to Singapore falling 9 per cent, China off 30 per cent and Hong Kong down 23 per cent. In the latest earnings season luxury players including Richemont, LVMH, and Hermès reported sales drops in watches. 'The rise of 'luxury fatigue,' a declining 'feel-good factor' from luxury purchases, and worsening consumer sentiment all contribute to a less optimistic outlook,' according to Bertschy. BLOOMBERG
