The losses sustained by counterfeited watches
In 2016, the total worth of counterfeit watch AAA class [นาฬิกาเกรด aaa, which is the term in Thai] traded amounted to CHF 2.67 billion, or USD 2.71 billion. This implies sales losses of almost CHF 1.67 billion, or USD 1.7 billion, for Swiss legal rights owners, i.e., greater than 8.4% of the sector’s exports, indicating 3 000 lost jobs. Swiss watch civil liberties holders are specifically targeted by counterfeiters and the whole market is heavily hit by counterfeiting.
In 2018, the complete worth of fake Swiss watches totaled up to CHF 3.35 billion, or USD 3.37 billion, when calculating with the upper limit of fake trade. This implies sales losses of virtually CHF 1.98 billion, USD 2 billion, comparable to 9.3% of the market’s exports, as well as greater than 3700 work losses for Swiss watchmaking legal rights owners.
This massive counterfeiting of Swiss watches also indicates damages in terms of federal government incomes.
In 2018, selling phony Swiss watches caused inescapable earnings, work revenue tax as well as business income tax, or CIT, of almost CHF 66.2 million, or USD 66.6 million, for the Swiss federal government. If the phony Swiss watches were purchased in Switzerland, this might represent an added loss of CHF 154.1 million, or USD 155 million, of value-added tax.
The big share of the second market for phony watches, estimated at 55%, reveals the solid need for fake versions of Swiss watches. This indicates that greater than 55% of phony watches have been sold to individuals who recognized they were fakes. When it comes to the key market, where people acquire fakes unconsciously, we approximate the consumer hindrance because of counterfeiting to be practically CHF 1.78 billion, or USD 1.79 billion.
COVID-19 situation and sell phony Swiss watches
The ongoing COVID-19 pandemic has caused a crisis that has had as well as will remain to have a substantial influence on illicit trade in counterfeit goods in many markets, including watches. The circumstance is vibrant as well as it is too early in conclusion about the last, total effect that the pandemic has had on the trade-in fake Swiss watches.
If you want to check our stock of “mirror class” counterfeit watch [นาฬิกาเกรด มิลเลอร์, which is the term in Thai], please visit the link.