US, WASHINGTON (ORDO NEWS) — Swiss watch shipments fell 80% in April due to the coronavirus pandemic. This is the largest drop in at least two decades. Straighten position start only in China.
Exports of Swiss watches and related products fell 81.3% in April to 328.8 million francs ($ 318.7 million), the Swiss Watch Industry Federation said . This was a direct result of the suspension of production and sales due to the coronavirus pandemic, the organization said. She noted that, nevertheless, this situation is an exception, not a trend in demand.
Exports in April amounted to only 300,000 hours, a decrease of 78.6%. Deliveries of watches made of steel and gold decreased most of all (90.3%), least of all – simply made of steel (77.8%). The fall also occurred in all price categories. Strongest in the most premium, from 3,000 francs (approximately $ 3090) – by 85.9%. The average segment shrank the least from 500 ($ 515) to 3,000 francs – by 72%.
In major markets, the best result in China, which was the first to encounter coronavirus, is now returning to a normal life after quarantine. There is a fall of 16.1%. China accounted for a third of all watch exports in April. The most significant decline in the US is by 86.4%. Watch exports to Hong Kong, Japan and Germany also decreased by more than 80%. In South Korea, which is also recovering from the epidemic, a 68.6% drop.
The decline in Swiss watch exports in April is the most significant in at least two decades, Bloomberg notes . Swiss manufacturers are preparing for the worst year in the modern history of watch manufacturing, the agency said. Johannes Rupert, chairman of the board of directors of luxury goods maker Richemont, warned of serious economic repercussions that could affect over the next three years.
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