Swiss watch exports fell 11% year on year to CHF 1.59 billion ($1.78 billion) in January, the 12th consecutive monthly drop, as demand slowed in the US and in key Asian markets.
Shipments to the US declined 11% to CHF 183.3 million ($204.5 million), partly because strong figures in January 2020 created an unfavorable comparison, the Federation of the Swiss Watch Industry said Thursday.
Supply to Hong Kong dipped 9% to CHF 169.3 million ($188.9 million) last month as market conditions deteriorated, while exports to the UK and Japan slumped due to the tightening of Covid-19 measures, it added. January also had one fewer business day than the same period a year earlier.
The negative figures outweighed a 58% jump in orders from China, for a total of CHF 255 million ($284.5 million), mirroring a continued recovery of the retail sector on the mainland.
Globally, cheaper watches saw a sharper downturn, with shipments of timepieces priced under CHF 200 ($223) sliding 31% by value. Exports of watches with wholesale prices ranging from CHF 200 to CHF 500 ($558) decreased 26%, while goods valued between CHF 500 and CHF 3,000 ($3,347) suffered a decline of 25%. Shipments of items above that price level slipped 4.1%.
The numbers point to a worsening of the situation versus December, when the global decline was the mildest since the start of the pandemic as Chinese demand rose. The trade hasn’t witnessed a year-on-year increase since January 2020.
“The result for the month will nonetheless have only a limited effect on the upward trend seen since last summer, and a return to significant growth is expected over the next few months,” the federation noted.
Jaeger-LeCoultre has held the record for the world’s smallest mechanical movement – since 1929. The caliber 101, a mere 14mm long and less than 5mm wide, is still used today. It drives two new high jewelry models from the brand, the Snowdrop and the Bangle. Both are made of 18k pink gold and designed as bracelets, according to standards of high jewelry making, with integrated cases and movements. Each is set with about 20 carats of diamonds, all classified as IF-internally flawless to VVS clarity grade.
The Jaeger-LeCoultre Snowdrop, with 20.9 carats of diamonds. JAEGER-LECOULTRE
The Snowdrop is set with of 904 diamonds, 204 of which are substantially sized pear-shaped gems. The remainder are classic brilliant cuts, for a total of 20.9 carats. The design was inspired by the white bell-shaped flowers of the same name that grow through the snow in the Vallee de Joux watchmaking district of Switzerland. The case is integrated with the manchette-style bracelet, with a circle of pear-shaped diamonds surrounding the dial to form a flower. Waves of diamonds repeat the petal pattern in perfect symmetry throughout the bracelet.Recommended For You
The Jaeger-LeCoultre Bangle watch, with 19.7 carats of diamonds. JAEGER-LECOULTRE
The diamonds in the center of the bracelet are set according to the griffe or claw method, which minimizes the amount of metal surrounding the gem and allows more light to pass through from different angles. The bracelet’s structure is supported by two bands of gold with diamonds that are grain-set, a linear setting technique in which tiny beads of gold are pulled up from the surface of the metal and pushed over the stone to secure them. The gemsetting work for this piece represents 130 hours of work by Jaeger-LeCoultre artisans.
The Jaeger-LeCoultre Bangle watch, with 19.7 carats of diamonds. JAEGER-LECOULTRE
The Bangle watch is a swirling, geometric Art Deco design with an interplay of symmetry and asymmetry. The bracelet is set with 996 diamonds totaling 19.7 carats, graduated in size to emphasize the sweeping, 3D curves of the design. Altogether, there are 144 griffe-set diamonds and 852 grain-set diamonds. The Bangle opens with a simple twist of each side.
Setting diamonds into the Snowdrop watch by Jaeger-LeCoultre. JAEGER-LECOULTRE
Over the past 90 years, Jaeger-Le Coultre’s caliber 101 has been used in jewelry watches under its own name as well as in creations by other high-end brands. These rare timepieces have graced the wrists of many notable women, including Queen Elizabeth II, who wore one for her coronation in 1953. The movement has benefited over the years from many improvements in materials and machining, but its dimensions and architecture remain unchanged. The present, fourth-generation movement, caliber 101/4 has 98 components (compared with the original 78).
Swiss watch exports plunged in April as coronavirus lockdowns brought the entire supply chain to a near halt.
“Swiss watch exports were extremely low in April as a direct result of the standstill in production, distribution and sales, causing them to collapse,” the Federation of the Swiss Watch Industry reported Tuesday.
Shipments slid 81% to CHF 328.8 million ($339.1 million) for the month, with nearly all markets declining significantly. Orders from Hong Kong plummeted 83% to CHF 42.2 million ($43.5 million), while supply to the US dropped 86% to CHF 27.9 million ($28.8 million). Exports to Japan fell 86% to CHF 19.5 million ($20.1 million).
The decline in China was more mild, slipping 16% to CHF 110.3 million ($113.7 million), and accounting for one-third of total Swiss watch exports in April, as the economy began to recover. However that compares with an increase of 11% to CHF 155.9 million ($160.6 million) in March. In February, shipments to China fell 52% due to the coronavirus.
All price categories “contracted sharply,” as exports of timepieces valued between CHF 500 ($516) to CHF 3,000 ($3,095) declined 72% by value. Watches worth more than CHF 3,000 dropped 86%.
Shipments of timepieces made from precious metal decreased 82% to CHF 102.4 million ($105.6 million). Supply of gold and steel watches saw the steepest decline, tumbling 90% to CHF 28.4 million ($29.3 million).
