How Luxury Watch Industry Faces New Headaches Due To Iran War l Explained

The world’s most prestigious watch fair opens Tuesday in Geneva as the Iran war casts a long shadow over the $100 billion luxury timepiece industry. With 65 elite brands, 60,000 expected visitors and billions in deals at stake, the sector was already struggling after two years of contraction. Now the US-Israeli conflict against Iran — which began on 28 February — is driving up global energy prices, disrupting air travel and Gulf tourism, and slashing luxury sales at Dubai Airport. Swiss watch exports fell 1.7% last year, hammered by a strong franc and Trump’s peak 39% tariffs on Swiss goods (later reduced after a Swiss delegation gifted Trump a Rolex clock). Gold and silver price spikes have also raised production costs. Yet ultra-luxury watches above $63,000 are growing (now 37% of exports), while Japan’s Grand Seiko and India’s Titan quietly gain ground.