Switzerland is on pace to export fewer watches than it has since 1984.
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According to a Federation of the Swiss Watch Industry report, the country shipped just under 19 million watches in the 11 months through November, a 13 percent dip from last year. In terms of revenue, exports were down 3.5 percent since November 2018.
Watches with an export price below 3,000 francs ($3,052.39) dropped by double digits, per the report, both in value and the number of items: 11.5 percent and 17.6 percent, respectively.
The sharp decline can, in part, be attributed to ongoing unrest in Hong Kong dissipating demand for luxury goods. Shipments to the city, specifically, were down a whopping 30 percent in November, marking the first time Hong Kong ranked behind mainland China.
The United Kingdom, France and the United Arab Emirates also saw declines.
The rise of smartwatches, like the Apple Watch and Samsung Galaxy Watch, have also challenged the demand for luxury watches. While many high-end watches can cost upward of $10,000 (with some, like from watchmakers Richard Mille and Patek Philippe, costing up to $140,000), smartwatches tend to hover under $1,000 and are equipped with many more features than time-telling.
U.S. smartwatch sales were up 60 percent last year, market research firm The NPD Group reported in February, adding that sales totaled $5 billion, up 50 percent from last year.