Sanctions on Russia: "Swiss Watchmakers may have to Subdue their Designs"
April 05, 22
(IDEX Online) - Swiss watchmakers may have to produce more subdued designs as a result of sanctions on Russia, a key supplier of diamonds, gold, platinum and other precious metals.
Jon Cox, an industry analyst with the Kepler Cheuvreux financial services company, said concerns over raw materials would inevitably drive up prices.
"I imagine product development will move to more subdued luxury goods", he told AFP.
Richemont, the Swiss luxury group that owns Piaget, IWC (pictured) and half a dozen other watchmakers, said last week it would not buy any diamonds mined in Russia.
Current sanctions imposed by the US, EU and UK prohibit the importation of rough diamonds from Russia, but permit gems mined there, but cut and polished elsewhere.
Patek Philippe said it was relying on its existing stockpile of diamonds.