Kern expects the pact, underneath which New Delhi would slash the fundamental customs obligation on Swiss watches over the seven-year interval, would ultimately reshape the economics of the luxurious watch trade in India, whose world-leading development credentials are already firmly established.
“The brand new free commerce settlement is an enormous step ahead. Earlier, we have been working with nearly zero margins,” Kern stated. “Pricing will not change, however decrease duties now enable us to speculate way over earlier than. Earlier, we needed to take in the tariffs ourselves; now we are able to channel these assets straight into increasing our presence and strengthening the model in India.”
India is among the fast-growing nations for Swiss watchmakers like Breitling. Breitling is “most likely the third-biggest watch model in India” in its competing worth phase, stated Kern, including that whereas the model's international common worth level is round $7,200, “in India it is about $6,600.” Swiss watch exports in September 2025 fell 3.1% year-on-year to 2 billion francs, whereas shipments to India rose 28.3%, in line with figures from the Swiss watch trade.
“India is among the few markets that is rising strongly. We're seeing double-digit development. Once I was right here about 18 months in the past, we had simply three boutiques; at present, we now have seven. Our purpose of reaching ten boutiques will likely be achieved very quickly,” stated Kern. Swiss watch exports in September 2025 fell 3.1% on yr to 2.0 billion francs, whereas shipments to India rose 28.3%, as per the Swiss watch trade.
India ranked twentieth globally in Swiss watch exports, with shipments value 207.3 million francs between January and September 2025, up 9.6% from the identical interval final yr. “In India, our boutiques are breaking even throughout the first yr. The model could be very robust right here. The typical worth level in our boutiques is greater, and gross sales are stronger in comparison with multi-brand shops,” he stated. Subsequent yr, Breitling can be bringing two manufacturers, Gallet and Common Geneve, to India, stated Kern. “Each manufacturers match for India-Gallet in $2,500-$5,000 vary; Common Geneve beginning at $15,000,” he stated.Globally, the Swiss watch trade goes by way of a tough patch, with exports falling 2.8% in 2024 to CHF 26 billion. “The worldwide watch market goes by way of the longest slowdown I've seen in my profession, three or 4 years of gradual decline,” stated Kern, citing wars, commerce tensions and political uncertainty. “Whenever you purchase a luxurious product, you could be in temper. As soon as there's peace, spending will return.” Former Richemont govt Georges Kern has led a dramatic turnaround at Breitling since 2017, lifting its valuation from about 800 million francs when CVC first invested to almost 3 billion by 2021, when Companions Group got here on board. Companions holds a majority stake, with Kern retaining minority share, valuing Breitling at over $4 billion in 2022.Underneath Kern, Breitling has advanced past its pilot's watch positioning. “Sure, and thank God for that,” says Kern. “Again in 2017, we have been simply 5% of the market and never even in China. Breitling was by no means solely about pilot's watches. By reviving the Premier, High Time, and Superocean Heritage, we have returned to our roots and constructed an common luxurious model that stays true to its 140-year-old DNA.”
As soon as identified for its masculine enchantment, Breitling now has a rising girls's portfolio. “Once I joined, we had zero girls's watches; at present they make up 20% of gross sales, and we are able to attain 25%,” says Kern.
Requested whether or not AI will hit Swiss luxurious watchmaking, Kern says, “AI can't be subsequent Mozart, subsequent Beatles, or subsequent Karl Lagerfeld.” He recollects sitting on a panel dialogue with On shoe firm co-founder the place AI designed a shoe and a watch, saying, “The shoe was effective, watch terrible,” earlier than including, “Creativity nonetheless belongs to people.”
