Swatch Launches Limited-Edition Watch to Protest U.S. 39% Tariff
Swiss watchmaker Swatch has introduced a provocative limited-edition timepiece named “WHAT IF…TARIFFS?” in response to the 39% import tariff the United States imposed on Swiss goods last month. The watch face features the numbers 3 and 9 reversed, directly referencing the punitive levy announced by the Trump administration in August 2025.
Priced at 139 Swiss francs (approximately $174), the model is available exclusively in Switzerland and was reportedly sold out on the company’s website by Friday. A Swatch spokesperson told CNBC that the watch is intended as a “positive provocation”—a call to action for Swiss authorities to secure a more favorable trade agreement with the U.S.
“It’s in Swatch’s DNA to provoke in a positive way,” the spokesperson explained via email. “We have played with the 39% tariffs imposed on Switzerland by the United States. We hope that this activation will not last long, but that it will be as short as possible. As soon as the United States changes its customs duties towards Switzerland, we will immediately stop selling this watch.”
Context of the Tariff Dispute
On August 1, 2025, the Trump administration imposed a 39% tariff on Swiss imports, a rate significantly higher than the 10% to 15% tariffs applied to other major trading partners such as the European Union and the United Kingdom. This move has drawn strong criticism from Swiss government officials and businesses alike.
The Swiss watch industry, heavily reliant on the U.S. luxury market, has been particularly affected. In 2024, the United States accounted for the largest foreign market for Swiss watches, with exports reaching 4.37 billion Swiss francs, according to the Federation of the Swiss Watch Industry.
Swiss negotiators continue to engage with U.S. officials to secure a reduction in the tariffs. U.S. Commerce Secretary Howard Lutnick indicated in a recent interview with CNBC that the two countries are close to finalizing a deal.
Swatch’s Strategic Messaging
The “WHAT IF…TARIFFS?” watch joins Swatch’s existing “WHAT IF…” series, known for colorful, creatively themed models retailing around 100 francs. This latest edition uses design as a form of political commentary, targeting trade policy as a critical issue for the Swiss luxury sector.
By leveraging its brand and product design, Swatch is drawing public attention to the tariff dispute while signaling a willingness to halt the watch’s production once the tariffs are lifted.
FinOracleAI — Market View
Swatch’s release of the limited-edition “WHAT IF…TARIFFS?” watch is a calculated move to spotlight the adverse effects of the 39% U.S. tariff on Swiss exports, particularly in the luxury watch segment. While largely symbolic, this initiative underscores the industry’s urgency for a resolution and may influence public and diplomatic pressure toward tariff reduction.
The immediate market impact is neutral, as the product itself does not alter trade fundamentals. However, a successful renegotiation reducing tariffs would be positive for Swiss exporters and could boost luxury watch sales in the U.S.
Stakeholders should monitor ongoing trade talks and any official announcements concerning tariff adjustments, which will be key to assessing future market movements.
Impact: neutral
