Hermes Says Luxury Watch Oversupply an ‘Illness’ for Industry

  • Producers still making too many watches given pandemic slump
  • Swiss have exported more than 1 billion watches over 40 years
Cape Cod model luxury wristwatches, produced by Hermes International SCA.Photographer: Michele Limina/Bloomberg

Swiss watchmakers are still churning out too many timepieces despite production cuts following a Covid-induced sales slump, according to the head of Hermes International’s horology unit.

Brands including Hermes, Rolex and Audemars Piguet temporarily halted production last year amid the pandemic, which helped ease a supply glut somewhat. Still, some producers are failing to address the issue, Laurent Dordet, chief executive officer of Hermes’s watch unit, said in an interview.