Post-Tariff Slump in US Imports of Swiss Watches

Swiss watch exports to the US plunged by more than 55 per cent in September, in what the Federation of the Swiss Watch Industry Exports (FHS) described as a “huge correction”.

Foreign sales surged in the weeks before the US introduced a 39 per cent tariff on Swiss imports on 7 August, as manufacturers front-loaded shipments. 

Since then exports to the US have slumped, down by 23.9 per cent in August and now by 55.6 per cent in September.

“Without this expected but nonetheless extraordinary development, Swiss watch exports would have grown by 7.8%,” the FHS said in its latest update.

Hong Kong and China both saw a marked reversal of fortunes, from double-digit declines in August to double-digit increases in September. But that wasn’t enough to outweigh the US plunge.

Total Swiss watch exports fell by 3.1 per cent during the month to CHF 2.0bn (USD 2.5bn). The UK became the single biggest buyer, with imports up 15 per cent to CHF 173m ($218m), an 8.7 per cent market share.

The overall decline took cumulative exports for the first nine months of the year to CHF 19.0bn (USD23.9bn), an overall decline of 1.2 per cent. 

Source: DCLA

Antwerp Negotiates Zero US Tariff for Polished Diamonds

The US has agreed to ditch its 15 per cent tariff on imports of diamonds polished in Antwerp and elsewhere in the EU.

They will be zero-rated, following intensive lobbying from the AWDC (Antwerp World Diamond Centre).

The exemption, made in a US executive order, means Antwerp’s 350 or so diamond polishers are now subject to zero tariffs on US imports, while the thousands of polishing units in India are currently subject to a 50 per cent tariff.

The 15 per cent tariff was introduced on 1 September as part of a global move announced by US President Donald Trump. The new diamond exemption is effective retroactively from that date.

AWDC described it as a “tremendous boost for the Antwerp diamond industry,” one which could pave the way for other diamond countries to negotiate lower tariffs with the US.

CEO Karen Rentmeesters (pictured) said: “The agreement is of vital importance and strengthens our competitiveness as both a trading and polishing hub. For goods of European origin – polished in Antwerp – which account for half of all polished diamond exports to the U.S., the 15 per cent tariff will no longer apply.

“By setting this precedent, we have opened the door for other diamond-producing and polishing countries to negotiate similar arrangements in the near future.”

Diamonds polished in an EU country are now included on the list of exemptions summarized in so-called ‘Annex II,’ which outlines products that can be exempted once a bilateral trade agreement with the U.S. is reached.

Source: DCLA

US Jeweler “Sold Lab Growns as Natural Diamonds”

A jeweler has been arrested in New Jersey, USA, over allegations that he misrepresented lab grown diamonds as natural.

Justin T. Wentzel, 43, owner of Ice Storm Jewelry, over-valued three items of diamond jewelry by as much as $23,800, according to local police.

A victim made a complaint in June and Wentzel was arrested on 7 August after he was asked to attend police headquarters.

“Mr. Wentzel was charged with theft by deception, criminal simulation, and falsifying or tampering with a record,” said Mount Olive Township Police Department, in a statement.

“Through the course of the investigation, it was determined that Mr. Wentzel sold lab grown diamonds as genuine diamonds and over valued the worth and price of the jewelry by as much as $23,800.”

Wetzel was released pending a court hearing.

Source: DCLA

Steady Decline in Number of US Jewelry Businesses

The number of US jewelry businesses shrank yet again in Q2, according to the latest update from the Jewelers Board of Trade (JBT), which provides commercial credit information.

The figures show a long-term decline continuing at a steady rate, with figures for the last four quarters showing a year-on-year fall of around 3 per cent in the total number of retailers, wholesalers and manufacturers.

The JBT statistics take account of new businesses as well as ceased operations.

The biggest decline, in percentage terms, was manufacturers. There are 104 fewer today than there were a year ago, down 4.7 per cent to 2,104.

There are 516 fewer retailers, down 3.0 per cent to 16,873, and 86 fewer wholesalers, down 2.6 per cent to 3,241.

During Q2 there were 28 closures due to mergers or takeovers, three bankruptcies and 143 businesses that ceased activity for other reasons.

In addition, 561 company credit ratings were downgraded in Q2 2025, and 639 upgraded – compared to 633 downgrades and 663 upgrades in the same quarter previous year.

JBT also provides figures for Canada, which has a far smaller jewelry sector. It shrank by 1.8 per cent.

Source: DCLA

US Watch and Jewelry Sales Steady Again in March

Watch and jewelry sales in the US remained steady in March, with a slight overall increase of 0.4 per cent, according to the latest US Department of Commerce figures.

Jewelry sales rose slightly, while watch sales dipped, as consumers opted for higher-priced items, but bought fewer of them.

In February overall sales increased by just 0.2 per cent and in January they fell by 1.0 per cent

The US government’s BEA (Bureau of Economic Analysis) reported a 0.7 per cent increase in consumer spending in March, the biggest increase for two years, but said it was largely driven by a rush to buy cars before US reciprocal tariffs forced prices up.

Watch and jewelry sales have been characterized by very modest increases in recent months, following on from a year of sustained growth – 10 per cent or more in some months – as shown below.

Reciprocal US tariffs – announced in April, then paused until July – will almost certainly hit sales, as producers forced to either absorb the costs or pass them on to consumers.

Source: DCLA

US Jewelry Sector Shrinks Again in Q1

The decline in the US jewelry sector continues, with yet another drop in the number of retail, wholesale and manufacturing businesses.

The total number fell by 3.4 per cent – just under 800 businesses – to 22,330 year-on-year, according to the latest update from the Jewelers Board of Trade (JBT), which provides commercial credit information. The figures take account of both closures and new business openings.

The figure for the previous quarter, Q4 2024, was -3.2 per cent, and for Q3 2024 it was -3.3 per cent, indicating a steady rate of decline.

The biggest fall in Q1 2025 was among jewelry manufacturers, down 4.6 per cent to 2,119. The number of retailers fell 3.5 per cent, down to 16,959 and the number of wholesalers fell 2.5 per cent to 3,252.

JBT reported the opening of 68 new retail jewelers in the US during Q1.

Source: DCLA

Number of US Jewelry Businesses Decreases

                          

The industry continued to downsize in the US in the third quarter, according to the latest data from the Jewelers Board of Trade (JBT).

Some 113 businesses exited the sector during the three months ending September 30, compared with 101 in the same period a year earlier, the figures showed Friday. In total, the number of companies active in the US industry fell 1.9% year on year to 23,984.

Bankruptcies dropped to zero from nine a year earlier, while closures due to consolidation — mergers, acquisitions and similar transactions — declined to 28 from 37 a year before. However, 85 companies left the industry for other reasons that the JBT does not specify, up from 55 for the same quarter in 2020.

Source: DCLA

Number of US Jewelry Businesses Decreases

                          

The industry continued to downsize in the US in the third quarter, according to the latest data from the Jewelers Board of Trade (JBT).

Some 113 businesses exited the sector during the three months ending September 30, compared with 101 in the same period a year earlier, the figures showed Friday. In total, the number of companies active in the US industry fell 1.9% year on year to 23,984.

Bankruptcies dropped to zero from nine a year earlier, while closures due to consolidation — mergers, acquisitions and similar transactions — declined to 28 from 37 a year before. However, 85 companies left the industry for other reasons that the JBT does not specify, up from 55 for the same quarter in 2020.

Source: DCLA