Hong Kong’s watch exporters are bracing for severe business impacts as the US escalates tariffs on Chinese and Hong Kong goods, with some predicting 40 percent sales declines and possible 50 percent staff cuts if the measures take effect next month.
DIY Watch Club, a Hong Kong-based customizable watch brand founded in 2020, expects a 30 to 40 percent revenue drop.
Its founder, Quinn Lai Kwan-kwo, said 80 percent of its US$3-4 million annual sales go to the US, with its products typically priced at US$200 to US$300 each.
He said in view of the latest development, customers may switch to cheaper alternatives, and that his company may need to reduce staff by half to cut costs.
He also said he plans to expand into the UK and European markets, while establishing US operations to avoid the tariffs.
