Rolex watches are topic to Trump’s tariffs. Credit score: Saeid Poorat, Shutterstock
A 39% tariff on Swiss imports got here into impact on August 7, 2025, sending shockwaves via the luxurious watch market as manufacturers corresponding to Rolex Brace for value hikes and adjustments in shopper habits.
The tariffs introduced by Donald Trump in a drastic govt order goal all Swiss imports and are a part of a broader overhaul of US commerce coverage. Switzerland is presently going through one of many highest international tariff charges underneath the Trump framework, because it lacks a proper commerce settlement with the US by the August deadline.
Switzerland screens exports It’s primarily affected by Trump’s tariffs
Final 12 months, Switzerland exported greater than $6 billion price of watches to the US, making the US the highest market since 2020. Nevertheless, the brand new 39% assortment is forcing main manufacturers, together with Rolex, Omega, Patek Philippe and Virchelon Constantine, to decide on to soak up prices or improve costs.
In response to Fox is alive now“Some costs (are) are reportedly rising 15%, particularly for gold fashions and high-end watches. Impartial manufacturers with out deep monetary buffers are significantly susceptible.
Wall Avenue Journal The Swatch Group, which recorded “double-digit” development in U.S. gross sales earlier this 12 months, experiences that it warned traders that tariffs, forex adjustments and gold costs might additional slim the margins.
Second hand watch markets could make a revenue
Whereas luxurious retailers are bracing for affect, collectors are already turning to second-hand markets for aid.
In response to FoxThe second-hand trade presently accounts for almost a 3rd of world watch gross sales, with platforms like Chrono24 and WatchCharts seeing a surge in demand. Used watch costs have fallen for the thirteenth consecutive quarter, making them much more enticing to price-conscious patrons.
An evaluation by Morgan Stanley and Watchcharts discovered that demand for second-hand markets is rising sooner than new markets. Specifically, funding grade watches corresponding to Rolex and Patek Philippe are inclined to retain worth.
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