Press release
The very strong growth of 2011, being unsustainable
in the long term, gave rise to a uniform and welcome slowdown in the summer of
2012. While most monthly results were very dynamic, a number of more moderate
variations held back growth in the second part of the year. This resulted in a
below-average increase in November (+4.7%), while September (-1.4%) and December
(-5.6%) recorded downturns. However these one-off fluctuations did not prevent
the industry from ending the financial year with a remarkable
increase.
In an often unfavourable economic climate the Swiss watch
industry clearly managed to hold its own, while other export sectors
unfortunately experienced more difficulties. The foundations of watch industry
growth are strong and offer encouraging development prospects. Widespread
investment to develop production in Switzerland is intended to meet growing
demand and the sales potential of a number of still emerging markets. From this
perspective, the year 2013 shows promise and should see watch exports continue
to rise.
Products
Watch industry exports were
comprised mainly of wristwatches. The latter recorded a value of 20.2 billion
francs, an increase of 11.5% compared to 2011. The corresponding number of
timepieces for its part fell slightly to 29.1 million units (-2.2%). However
this level remains well above the average of recent years, situated at around 25
million timepieces. The increase in the average price to 693 francs is due
mainly to the ever-larger share of the most expensive watches.
Gold
timepieces (+20.5%) contributed greatly to the increase in value. The other main
materials, namely steel (+8.2%) and bimetallic (+5.3%) recorded a significant
but more moderate increase. In terms of the number of timepieces, upturns in
several important materials such as steel, gold and bimetallic failed to
compensate for the decline in the categories of other materials (-4.5%) and
other metals (-7.9%). In the final analysis, Switzerland exported 640,000 fewer
watches than in 2011.
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Timepieces costing less than 200 francs
(export price), which accounted for 68% of total volumes, showed a negative
trend in terms of the number of timepieces (-5.9%), while their value remained
stable. Other price segments were more buoyant. Between 200 and 500 francs, the
number of timepieces increased by 9.3%. The 500-3,000 francs range slightly
exceeded its 2011 level: +0.3% by value. Watches costing more than 3,000 francs
stood out by their very strong growth. Their value increased by 18.0% and the
number of timepieces by 13.1%.
The value of other products exported by
Swiss watch manufacturers totalled 1.2 billion francs, an increase of 2.0%
compared to 2011. Among these products, watch movements posted a value of 223.4
million francs (+1.2%), with alarm clocks and other clocks recording a value of
50.3 million francs (+27.5%).
Markets
During
the year 2012, the fifteen main markets showed the following trend (total value
in million francs and % variation by comparison with 2011):
1. Hong
Kong 4,370.7 +6.8%
2. USA
2,186.9 +10.1%
3. China 1,647.6
+0.6%
4. France 1,317.2 +1.3%
5.
Germany 1,198.6 +33.1%
6.
Italy 1,173.9 +16.0%
7.
Singapore 1,124.7 - 1.9%
8.
Japan 1,092.4 +19.7%
9. United Arab
Emirates 855.2 +25.2%
10. United Kingdom
806.7 +22.4%
11. South Korea 482.2
+21.7%
12. Taiwan 435.8 +18.4%
13.
Spain 418.0 +17.4%
14. Saudi
Arabia 330.5 +15.4%
15.
Russia 277.4 +9.0%
The main markets for
Swiss watch exports showed a positive trend in 2012, with the exception of
Singapore, where the decline was however modest (-1.9%). The leading market,
Hong Kong, saw growth fall from more than 30% to 6.8% over twelve months, but
finished with a particularly high value. China, in third place, recorded an even
more spectacular slowdown, dropping from an increase of 50% to virtually zero
growth at the end of 2012. These changes reflected a cooling of consumer demand
in China, due in particular to political factors. The Chinese however remained
important clients for the Swiss watch industry, particularly tourists on their
travels abroad. In second place, the United States also lost ground, albeit in a
much less marked fashion, ending the year with an increase close to the global
average (+10.1%). Europe bounced back strongly from the spring, even though not
all markets contributed to the same degree. After a major slowdown, France
recorded virtually zero growth from the spring and ended the year with a
variation of +1.3%. Germany's performance was in stark contrast however and
improved steadily, ending the year with an increase of +33.1%. Italy also picked
up the pace, albeit later and to a more modest extent, to end the year with an
upturn of +16.0%. Other markets in Europe and the Middle East all recorded
strong increases in value terms compared to 2011.