Swiss watchmakers have very few levers to pull when it comes to the ongoing negotiations for a trade deal that will withdraw the additional 39% tariff that kicked-in on August 7.
Perhaps a call to President Trump from Rolex CEO Jean-Frédéric Dufour might break the impasse, although a White House visit by Richemont CEO Johann Rupert earlier this year is thought not to have been helpful.
Swiss manufacturers increased shipments to the United States in April and again in July as new tariff rates were announced, repealed and then ratcheted up to today’s punitive level.
Swiss watch imports were up 24%, year-on-year, for the first seven months of 2025, equating to around seven weeks’ additional stock in the country compared to the same period last year.
Breitling was among the brands that dialed up supply ahead of new tariffs being imposed, but there were limits to what stock could be secured in time.
“We, we we tried to bring a few more watches in the summer, but it’s difficult because the supply side is a very complicated system. We make great movements, but we also rely on suppliers for other parts,” explains Thierry Prissert, president for Breitling USA.
Prices are expected to rise, but there has been no change yet for a basket of 40 watches tracked by WatchPro from brands including Rolex, Patek Philippe, Audemars Piguet, Breitling, TAG Heuer, Omega and Tissot.
Demand has remained strong as customers have decided to buy sooner rather than risk higher prices later in the year.
There are concerns in the American market that the sort of shortages last seen during the post-pandemic boom could return, but Breitling says it has still been importing since the additional 39% tariff rate hit.
“We keep bringing watches in because we need them, because the jewelers need them, because we keep selling them,” Mr Prissert tells WatchPro.
We’re receiving watch this week and we will keep receiving them next week,” he adds.
Extra stock in the USA has allowed brands to put off price increases, for now, but all eyes are on September 1, a date when price rises are often introduced as the Swiss return from their summer breaks.
Brands have the choice of loading the entire cost of the additional 39% tariff onto American consumers; share the cost between consumers, retailers and brands’ US operations; or spread the cost across the entire world, which would likely mean a global price rise in the low single-digits.
This third option is under consideration at Breitling, where the company’s CEO Georges Kern suggested this week that prices could rise around the world to offset the cost of the American tariff for Swiss-based manufacturers.