Tariff-Driven Price Hike in the U.S. (September 2025)
September 15, 2025, Patek Philippe increased retail prices approximately 15% on their U.S. website, as prices in the United Kingdom remain the same. They have become one of the first Swiss watch brands to significantly increase prices in the United States as a direct result of tariffs.
The sudden jump to a 39% tariff (effective August 7, 2025) created a major issue for Swiss watchmakers, who cannot fully absorb such costs. Patek Philippe’s response, a double-digit price hike, underscores the brand’s priority to maintain its margins and brand prestige in the face of rising import costs.
Even with this increase, Patek (and its US distributor) are not passing on the entire 39% to customers, indicating they expect the tariff might be temporary or that such a drastic retail hike could dampen demand.
This move follows earlier, smaller, hikes in prices during 2025, such as the ~3–5% increase around May 1st, 2025 in response to the initial 10% tariff.
Nautilus, Aquanaut & Calatrava – Old vs. New Prices
Patek’s most sought-after models – the Nautilus sports watch, Aquanaut sports watch, and classic Calatrava dress watch – have all seen significant MSRP jumps in the U.S.
The Nautilus 5811 (a coveted white-gold sports Patek) saw its retail price rise from about $74k to roughly $85k. Even after this increase, demand far outstrips supply – its secondary-market price is well over double retail and is climbing in.
The Aquanaut 5167A (a steel model) jumped from the mid-$20,000’ to around $28,000. On the secondary market it was already selling at 3× retail (initially $65,000 to $70,000) and continues to rise toward $75,000.
By contrast, a Calatrava like the 6119 (a popular dress reference) increased from around $35,600 to $41,000, but as it is not a high-demand model, its resale value remains below retail (mid-$20,000s).
This suggests that while sport models retain hefty premiums, more traditional models still trade at a relative discount—though that discount may shrink as new retail prices climb.
Historically, retail price hikes help offset resale values by narrowing the gap between new and pre-owned pricing. We are seeing that pattern play out now.
Higher MSRPs are pushing many buyers into the secondary market, creating an immediate surge in demand for pre-owned pieces.
We at WatchGuys have already seen a spike in sales of sought-after models, as collectors rush to beat further price increases. We suspect that, as the new tariffs start to go into effect and retail prices across brands potentially skyrocket, pre-owned prices could rise over 10% in the next month and as much as 35% over six months.
This effect is most pronounced for flagship steel sports watches (for example the Rolex Submariner and Patek’s own Nautilus), which already had waitlists and strong demand.
Limited editions and discontinued references may see an even sharper jump in resale value, as collectors scramble to secure them before prices climb further. Only time will tell just how much prices from retail and on the secondary market will rise.
Broader Market Response: Rolex & Other Swiss Brands’ Strategies
Patek Philippe’s move is part of a wider industry reaction.
Virtually all major Swiss watchmakers are grappling with the tariff by either raising prices, rerouting inventory, or both.
Rolex, for example, has taken a more gradual approach.
The Geneva-based giant already executed two U.S. price increases in 2025 (one in January and another around 3% on May 1st) to offset tariff effects. Those hikes were relatively modest, with some models seeing as little as a 1% price increase to as high as a 5% price increase.
Rolex is historically conservative with pricing, preferring small, steady MSRP upticks to avoid shocking the market. Industry chatter suggests Rolex may implement another single-digit percent increase in the U.S. if the 39% tariff persists, but likely nothing as steep as Patek’s 15% in one go.
You can expect to see a ~12–14% price jump on average across Swiss watch brands (Rolex included) if the full tariff cost is passed to consumers, unless brands like Rolex spread that out over multiple adjustments.
So far (as of mid-September 2025), Rolex has not announced a dramatic across-the-board hike equivalent to Patek’s. However, further incremental increases are anticipated.
Allocation strategies are another lever.
If the U.S. becomes less profitable (or if demand softens due to higher prices), companies can simply reduce supply to U.S. retailers and instead send those units to regions with lower tariffs.
We might see this play out with tightly allocated pieces. For instance, Rolex could divert some portion of its production of popular models (Submariners, Daytonas, etc.) to Europe or Asia, rather than sending them to U.S. dealers where the retail price is artificially high.
Patek Philippe, being family-owned and ultra-exclusive, was already cautious with supply. The tariff gives them further reason to favor non-U.S. markets for new allocations of hot models.
This could exacerbate the scarcity in America (ironically driving secondary prices even higher), but it protects the brand from having unsold stock in boutiques due to sticker shock.
Smaller independent Swiss makers are even more vulnerable. They are unable to absorb these new tariff costs, and therefore many may limit U.S. shipments or pause them entirely if customers won’t pay the tariff-inflated prices.
What Patek’s Price Increase Means for the Swiss Watch Industry
The 39% tariff has set off a chain reaction.
Patek Philippe’s 15% U.S. retail price increase is among the most pronounced responses, underlining the brand’s confidence that its clientele will bear the increase for the sake of owning these legendary timepieces.
The immediate effect is a more active secondary market: increasing resale prices and spiking trade pre-owned watches, along with heightened anxiety (and urgency) among collectors.
Looking at peers like Rolex, Omega, and Audemars Piguet we see a spectrum of strategies: across-the-board price tweaks, careful allocation shifts, and encouragement of overseas sales.
All signals indicate that luxury watch prices in the U.S. are only going to continue going up. Barring a reversal of the tariffs, buyers should expect this elevated pricing to persist, and possibly climb further, as brands safeguard their margins and mystique in the face of economic issues,
In the long run, this turbulent period may further strengthen the perception of high-end Swiss watches as not just luxury goods, but tangible assets that can weather market changes.
We believe that true enthusiasts will continue to trade regardless of climbing prices, and learn to adapt through these tariffs.
Leave a comment