Swiss watch industry exports continue to struggle in May

© Reuters. Visitors on the A. Lange & & Soehne stand during the opening day of the SIHH fair in Geneva

By John Revill ZURICH (Reuters) – Switzerland’s watch industry exports fell almost 10 percent in Might as watchmakers continued to have problem with the consequences of last year’s extremist attacks in Europe and an extended downturn in Asia. Exports of timepieces fell 9.7 percent on a nominal basis to 1.55 billion Swiss francs ($1.61 billion), according to information released by the Swiss custom-mades office on Tuesday. The fall followed declines of 11.1 percent in April and 16.1 percent in March. Overall in 2012 Swiss watch exports, which are seen as a proxy for sales, have actually fallen by 9.5 percent. Particularly badly struck have actually been China and Hong Kong, two of the world’s biggest markets for luxury watches which are made by business like Example (S:-RRB-, Richemont (S:-RRB- and LVMH Moet Hennessy Louis Vuitton (PA:-RRB-. Europe has also been having a hard time, with minimized tourism numbers in the wake of Islamist attacks in 2014 minimizing the number of visitors to important luxury shopping destinations like Paris. Exports to France fell 18.4 percent in May, according to figures from the Federation of the Swiss Watch Market. In reaction, watchmakers have been cutting expenses and production as the industry faces its most significant slowdown given that 2009 when the international monetary crisis reduced demand for luxury watches. Last month, Geneva-based Richemont stated it expected company to remain hard in the months ahead, as it reported a 1 percent fall in its continuous sales for the 12 months ended March 31. The owner of Cartier and IWC brands stated April had been especially difficult with sales down 15 percent in the month when currency swings were removed. Problems in Richemont’s watches business were exacerbated by stocks at sellers, which required the business to buy back unsold watches. No even more job cuts were intended on top of the 500 cut in 2014, but more shops could close in China, Richemont said last month. Disclaimer: Blend Media wish to remind you that the data included in this site is not necessarily real-time nor precise. All CFDs (stocks, indexes, futures) and Forex costs are not offered by exchanges however rather by market makers, and so rates might not be accurate and might differ from the real market price, implying costs are a sign and not proper for trading functions. Therefore Fusion Media does n`t bear any obligation for any trading losses you might incur as a result of utilizing this data. Blend Media or anyone included with Combination Media will decline any liability for loss or damage as an outcome of reliance on the information including data, quotes, charts and buy/sell signals consisted of within this website. Please be totally informed relating to the dangers and costs related to trading the monetary markets, it is among the riskiest financial investment types possible.

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