Swiss Watches See Highest Growth in Six Years

RAPAPORT... Robust demand for steel watches drove Swiss timepiece exportsupward in March, closing off the industry's strongest quarter of growth in sixyears. Worldwide shipments of Swiss timepieces climbed 5% year onyear to $1.73 billion (CHF 1.7 billion) last month, the Federation of the SwissWatch Industry reported Tuesday. Exports to Hong Kong jumped 10% to $234.5million (CHF 230.3 million), while those to the US climbed 4% to $180.3 million(CHF 177 million). Supply to China dropped 7% to $122.5 million (CHF 120.3million), the first fall in 18 months. Exports of steel watches soared 7% to $664.1 million (CHF652.1 million), while gold and steel timepieces showed moderate growth,increasing 3% to $266.6 million (CHF 261.8 million). Shipments of watches made of preciousmetals remained flat at $509.6 million (CHF 500.4 million). Globally, lower-priced pieces faltered, with exports ofwatches worth under $204 (CHF 200) slipping 8% by value in March, while thosepriced between $204 and $509 (CHF 500) declined 4%. Shipments of higher-pricedtimepieces fared better, with those that cost between $509 and $3,055 (CHF 3,000)growing 13%, and those over $3,055 gaining 2%. Total exports for the first quarter jumped 10%, the highestquarterly growth rate since June 2012, the federation said.Image: Baselworld