Watch Industry Cheers Supreme Court Tariff Ruling But Faces More Uncertainty As Trump Vows Workaround
The Supreme Court of the United States recently struck down President Trump's emergency trade tariffs, which had imposed significant levies on watch imports from countries such as Switzerland, Japan, and Germany. This ruling could lead to potential refunds for watch importers who have faced tariffs ranging from 10% to 39% since early 2024. However, Trump announced plans to implement a new 10% global tariff, raising concerns about possible legal interpretations and uncertainties within the watch industry regarding future tariff rates and logistics. Industry experts welcomed the Supreme Court ruling as a surprise but cautioned that it could bring short-term uncertainty. Manufacturers and exporters are anxious about the implications for tariff rates and the process for refunds. The ruling has already led to fluctuations in luxury goods shares, but investors remain cautious, anticipating further developments in tariff policies. European Union and U.K. officials have expressed intentions to review the ruling before making any changes to trade policy.
