Sri Lanka, Aug. 5 -- Switzerland's watch industry is facing a threat to sales after Donald Trump said he would impose 39 per cent tariffs on the country, raising the prospect of significantly higher prices in one of its biggest markets.

The elevated levy will push prices up for US consumers and hit volumes at some brands, analysts warned. The US accounted for 16.8 per cent of Swiss watch exports in 2024, worth roughly SFr4.4bn (US$5.4 billion, S$6.96 billion).

Swiss manufacturers The Swatch Group and Richemont, as well as London-listed Watches of Switzerland, a big Rolex and Patek Philippe dealer, all face "pain" if tariffs kick in next week as planned, Jefferies said.

At 39 per cent, the levy exceeds the 31 per cent proposed by Trump ...