- Patrik Schwendimann, an analyst at Zuercher Kantonalbank
Switzerland's trade surplus shrank notable in November as exports dropped, according to the Federal Statistical Office. The trade surplus dropped to CHF 3.14 billion from CHF 4.08 billion in October. Exports fell by real 2.1% from October, when it surged 6.2%. Furthermore, imports growth eased to 0.2% from 4%. Measured on an annual basis, Swiss exports soared 4.7% following an annual; 1.5% decline in October. Likewise, imports increased 4.7% in November, compared with 1.5% drop a month earlier. During January to November, the surplus totalled CHF 34.16 billion.
Swiss watch industry continued to struggle amid export decline. Shipments declined 5.6% to CHF 1.95 billion, led by a 28% plunge in shipments to Hong Kong and 5.3% decrease to the US. It is the first time the value of November exports fell below CHF 2 billion in four years and compares with a 14% slump. The Swiss watch industry is facing the first annual drop in the value of exports since 2009, having dipped 3.3% in the first 11 months of this year. Growth has weakened due to the slowdown in China's economy and the aftermath of the 2012 crackdown on extravagant spending among government officials that undermined notably demand in Hong Kong.
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