The Trump administration's recently announced 39% tariff on Swiss watch imports—set to take effect on August 7, 2025—has sent seismic ripples through the luxury watch industry. Swiss exports to the U.S., which account for roughly 17% of their total watch exports, will now face steep cost increases—retail prices could rise by 20–35% depending on model and brand. Brands like Rolex and Omega that could previously absorb modest tariffs are now raising prices or halting shipments altogether to offset the levies. As access to new watches tightens and prices surge, American collectors are turning to the pre-owned market in increasing numbers.

At Bob’s Watches, America’s largest reseller of pre-owned Rolex and other Swiss luxury models, insiders say the secondary market is becoming the go-to escape valve. As Paul Altieri, CEO of Bob’s Watches, observed. 'If the new watch market slows under the weight of tariffs, the pre-owned market may very well become the lifeboat.' He notes that when new watch inventory tightens up, savvy buyers and sellers pivot to secondhand models for value and availability—a dynamic that is reshaping the broader market.

Looking ahead, the secondary market is poised to grow further: industry analysts predict pre-owned watch prices could rise by 10% within a month and up to 35% over six months, as buyers pivot away from inflated new-watch pricing.

Meanwhile, new-watch inventories entering the U.S. have surged in anticipation, but risks remain as brands weigh absorbing costs or passing them to customers. In this shifting landscape, Bob’s Watches sees vital opportunity—and perhaps a structural shift—with Altieri stating that the secondhand space could become “the lifeboat” for both collectors and the industry.