The Federation of the Swiss Watch Industry’s (FH) 2025 statistical report on Swiss watch exports confirmed what many in the trade had already sensed: the post-pandemic boom has given way to a more uneven, selective market. Swiss watch exports declined by roughly 1.7% in value to around $30.5 billion, a figure exceeding the GDP of Montenegro, marking a second consecutive year of contraction after the pullback in 2024.
Swiss Luxury Watch Exports: Asia Declines While the U.S. Holds Steady
The FH data shows a clear regional split. The United States, which alone accounts for 17% of all Swiss watch exports worldwide, held steady, while Asia declined, dragged down by weaker consumer demand for luxury goods in China, Hong Kong, and, to a lesser extent, Japan. China, once the industry’s key growth market, remains the central problem for the Swiss watch industry. Exports to the mainland and Hong Kong have now fallen sharply over multiple years, reflecting a combination of macroeconomic pressure, weakened consumer confidence, and a broader luxury slowdown.
At the same time, volumes continue to fall faster than value, reinforcing a longer-term structural shift: fewer luxury watches sold, but at higher prices. To compensate, Swiss watchmakers are moving upmarket, where demand—though narrower—is more resilient. Against that backdrop, the United States, where consumer demand for luxury goods is still high, remains the single most important market in the world for Swiss watch exports.
Why U.S. Demand Is Driving the Swiss Watch Industry
More importantly, the United States has acted as a stabilizing force. While exports to the U.S. were not immune to volatility in 2025, particularly amid tariff-related front-loading and subsequent corrections, they held broadly steady over the year, underscoring the market’s resilience. Without that relative strength, the global picture would have looked materially worse. The FH data and industry commentary around it suggest that U.S. demand continues to offset weakness elsewhere, especially in Asia.
The first two months of 2026, meanwhile, reinforce this trend. January began weak, with total exports down 3.6%, suggesting the industry has yet to recover from the slowdown that set in over late 2024 and into 2025. But February told a different story. Exports rebounded, rising more than 9% year-over-year, driven in large part by a sharp resurgence in U.S. demand, which jumped over 25% for the month.
What the Swiss Watch Market Means for Prices and Inventory
All of this has clear industry implications, particularly ahead of Watches and Wonders in Geneva on April 14 (see our Watches and Wonders Predictions), when excitement about new releases builds to a fever pitch. First, inventory dynamics matter. The industry is selling fewer watches, but at higher prices. That tends to translate into increased availability and pressure on the secondary market. In addition, U.S. demand continues to anchor pricing. “As long as American collectors remain active, the high end of the pre-owned market should hold relatively firm,” points out Bob’s Watches founder and CEO Paul Altieri.
Finally, consumption in China has yet to recover, and until it does, any broader rebound in the watch market will remain uncertain—and the industry will remain reliant on the U.S., not just as its largest customer, but as its most reliable one. “Swiss watchmaking is no longer riding a global wave of easy demand,” Altieri notes. However, in markets where consumer intelligence carries the day, “there will always be appetite for the best examples of Swiss watchmaking.”
