Swiss Watch Exports Dip 2.8% in 2024, Reflecting China Slowdown

Alex Wynne
·3 min read

PARIS — The downturn for Swiss watchmakers intensified in December, according to figures published Thursday by the Federation of the Swiss Watch Industry, ending a difficult year for the segment, largely due to the fall in demand in China and Hong Kong.

Sales of Swiss timepieces in December fell 5.4 percent year-on-year to 2 billion Swiss francs. Annual exports totaled 25.9 billion Swiss francs, a 2.8 percent drop compared with 2023.

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“It follows three years of steady growth and suggests an economic slowdown in demand for luxury personal items, particularly among so-called aspirational customers,” the federation stated.

“Watchmaking firms have already shared their concerns for 2025,” it said. “Any recovery in the market will depend largely on the outlook in China, where uncertainty remains high. There is currently nothing to suggest a turnaround in 2025, although the decline should be less marked. Swiss watch exports are therefore likely to continue on last year’s downward trend, while the gaps between different actors in the sector will remain very marked.”

In the final month of 2024, the four biggest markets for Swiss timepieces all saw lower demand.

Exports of Swiss timepieces to the U.S. fell 1 percent to 345.7 million Swiss francs in December, dropping for the first time in six months.

China “continued to perform very poorly,” said the organization, with exports down 19 percent to 151.2 million Swiss francs. It fell to third place on the list of leading markets for Swiss timepieces after Hong Kong, which saw a lesser decline of 6.4 percent in December.

Exports to Japan were also down, by 12.7 percent, hit by tough comps. Exports to the United Arab Emirates were roughly flat, while the U.K. was a bright spot, with trade up 5.8 percent.

In the final month of 2024, exports of watches between 200 and 500 Swiss francs were the hardest hit, with a drop of 13.2 percent. Those retailing for under 200 francs fell 5.9 percent and those above 3,000 francs dipped 5.3 percent. Timepieces priced between 500 and 3,000 francs did better, falling by 1.8 percent.

Precious metal watches, the biggest segment, fell 3.4 percent in to 796.3 million Swiss francs, and were roughly flat in volume. Steel watches, the second-largest, gained 1.2 percent in volume but dropped 5.9 percent in value to 635.4 million Swiss francs. Gold-and-steel watches with sales of 305.7 million fell 10.3 percent in value and 16 percent in unit terms.

Looking at the full-year picture, the number of wristwatches exported was historically low, at 15.3 million, a drop of 9.4 percent year-on-year. For the year as a whole, exports to the U.S. increased 5 percent.

“The United States again strengthened its position as the sector’s leading market after four years of steady growth,” the federation said. “The outlook there remains favorable.”

Exports to Japan were up 7.8 percent, and South Korea, Spain and Mexico also did well on an annual basis. Annual exports to China dropped 25.8 percent and those to Hong Kong fell 18.7 percent year-on-year.

For market players that have already reported their 2024 numbers, results vary. For the three months to December, Richemont said its specialist watchmaking division sales grew across regions with the exception of Asia-Pacific, with double-digit increases in the Americas, and Middle East and Africa regions helping stem sales declines to 8 percent, from 16 percent in the six months to September.

LVMH Moët Hennessy Louis Vuitton said sales for its watches and jewelry division grew 3 percent in the last three months of the year, but they were down 3 percent on a reported basis for 2024 as a whole.

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