Exports rise, first in 20 months

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Exports rise, first in 20 months

Postby koimaster » May 23rd 2017, 9:31am

Watchmaking The sector, in crisis for over a year and a half, has released encouraging figures for the month of March

The Swiss watch industry sees the end of the tunnel. Exports recorded their first monthly increase in March after 20 consecutive months of decline. They increased by 7.5% year on year, to 1.6 billion francs.

This "pleasing" result must however be put into perspective, said Thursday the Federation of the Swiss Watch Industry (FH) in a statement. It benefited from two additional working days and a very favorable base effect.

Adjusted for working days, watch exports fell by 2.6%, says the Federal Customs Administration (AFD). In volume terms, sales abroad grew by 8.5% in March to 2 million pieces.

While watches of precious metals were down in March (-0.7%), the other categories registered a steady rise. Timepieces made of steel (+ 12.5%) and bimetallic (+ 15.1%) recorded a double-digit increase. "Other materials" jumped 49%.

Hong Kong takes over

With the exception of Italy (-9.1%), all major export markets increased. China, which has recovered since last summer, is up by 37.7%, while Hong Kong has ended 25 months of marked declines, with an increase of 18.1%.

The United States continued its hesitant evolution, with a good monthly result (+ 15.6%), but a medium-term direction clearly negative. Despite an increase of 8.3%, Japan is going through a period of decline for several months.

The United Kingdom continued its upward trend, taking advantage of the pound level. Other major European markets saw their value fall, as were Singapore (-1%) and the United Arab Emirates (-20.8%).

The luxury in verve

Exports of watches between 200 and 500 francs (export price) grew by more than 20%, both in terms of number of coins and value. Revenues of less than CHF 200 showed a slight decline in value (-2%), but with volumes up (+ 6.2%).

Above 500 francs, the progression was close to the general average, specifies the FH. The price segment of 500-3000 francs increased by 4.1% in volume and by 7.5% in value. Watches over 3,000 francs gained 10.7% in terms of the number of pieces sold and 8.3% in value. (ps / nxp)

http://www.tdg.ch/economie/hausse-expor ... y/11243370

And a related story -

"One should not focus on one month"

Watchmaking For the president of the watchmaking federation, if the slope remains negative in terms of exports, it gradually weakens.

"The trend in January was in line with the trend we experienced until the end of last year," explains Jean-Daniel Pasche, who was not surprised by the further drop in watch exports in January (-6.2 %, To 1.4 billion francs). Despite this new month in the red - the 19th consecutive for the industry - the President of the Federation of the Swiss Watch Industry (FH) is not losing hope and is still stabilizing the situation for this year as a whole. "We should not focus on a single month," he said, pointing out that if the slope remains negative, it gradually weakens.

The lull is noticeable on the Hong Kong side. The biggest market for Swiss watch manufacturers has fallen by only 3.9% over the past month. In the United States, as in China, exports have even increased, 5% for the former and 7.8% for the second. "China has seen its fourth consecutive month of growth and thus offers a favorable outlook for 2017," the FH said. Finally, while watches are in the red in most European countries, the United Kingdom is again an exception with exports rising by 0.9%.

Jean-Daniel Pasche also notes that "the high-end has been less affected." It states that certain brands reported significant improvements in their sales. "But for these effects to have an impact on exports, it will take a little time because there is always a discrepancy between the two phenomena," regrets Jean-Daniel Pasche.

As a reminder, watch exports were undermined by several macroeconomic factors, including the fight against corruption in China, the umbrella revolution in Hong Kong, which caused Chinese tourists to flee, the fall of the ruble, which undermined power The purchase of Russian customers, and the Paris bombings, which were soon followed by a not insignificant backlash on tourist purchases

http://www.tdg.ch/economie/argentfinanc ... y/27516286


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