The Swiss watch industry is going through a difficult time. Demand and exports are falling, particularly on the Chinese market. This is why the Federation of the Swiss Watch Industry (FH) and the Employers’ Convention of the Swiss Watch Industry (CP) published a press release this morning. They are calling for support from the authorities. The two umbrella organisations are therefore proposing a number of measures. Yves Bugmann, President of the FH, explains: “In times of turbulence, such as those we are experiencing now, it is important that the authorities take action on the Swiss franc and pay attention to the framework conditions.” Framework conditions that are important for Yves Bugmann, particularly for an export industry such as Switzerland.
For an improvement of free trade
In their press release, the FH and the CP state that: “The Swiss watch industry advocates for the improvement of framework conditions and welcomes recent advances in free trade.” Yves Bugmann adds that: “It is important that we can export without hindrance to important markets, such as India.” The agreement with India, which was recently ratified, is not the only advance that concerns the watch industry. The president of the FH is also closely following the modernization of the agreement with China and the finalization of negotiations with Mercosur, i.e. Argentina, Brazil, Paraguay and Uruguay.
A call for support to raise awareness
The idea of communicating about this request for support and these measures proposed to the authorities also helps to raise awareness among the general public. “The watchmaking sector is sometimes discreet, but we want to raise our voice to point out that we are suffering, like other industries in Switzerland,” explains Yves Bugmann. This period is a source of a lot of uncertainty on export markets, he explains. “We are therefore calling for concrete measures to strengthen the competitiveness of the sector,” he concludes on this subject.
Wait before reducing staff
The current situation is weighing particularly heavily on subcontractors and entry-level and mid-range companies. For the time being, companies prefer to wait and see before reducing staff numbers. Yves Bugmann has also noted an increase in requests for reduced working hours (RHT) in the regions of the watchmaking cantons.
An important aspect for Yves Bugmann, especially after two years of post-covid growth. /tbu
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