Japan overtook China in July to become the world's second-largest buyer of Swiss watches.
According to the Federation of the Swiss Watch Industry (FHS), watch exports showed signs of recovery in July, with total overseas sales up 1.6% year-on-year, compared to a 7.2% drop in June.
Sales in Japan surged 25.6% to $219 million, while sales in China fell 32.8% to $205 million. Experts estimate that Japan's weak yen has led to record tourism, with 3.1 million visitors in March 2024 alone, while China's recovery from COVID lockdowns has been much slower than expected.
In the US, Swiss watch sales rose 11.3% to $447 million. In Hong Kong, sales fell 19.1% to $172 million.
Factories producing tools, machinery and components for the Swiss watchmaking industry, have put their employees on short-time work due to the decline in global demand. Major manufacturers such as Rolex, Patek Philippe, Audemars Piguet and Richard Mille say they will cut production capacity in the short term, but will hold on to highly-trained staff.
Hélène Tarin, Editor-in-Chief of the Asian Bureau, Rough&Polished
