‘The Jewelry District’ Podcast: Tariffs, American Watchmaking Revival, Executive Shuffles

By Kathy Passero | August 27, 2025

In this week’s episode, JCK editor-in-chief Victoria Gomelsky and news director Rob Bates discuss the fallout from steep new tariffs the U.S. is imposing on India, the likely short- and long-term effects of tariffs on the watch market, and the “constant shuffle” in the jewelry industry as it navigates the Trump administration’s ever-shifting tariff policy. Next, Victoria updates listeners on an exciting resurgence in American watchmaking. Rob and Victoria close the podcast with a report on changes at the top levels of Ben Bridge and Kendra Scott.

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Sponsor: Nivoda (nivoda.com)

Show Notes
02:45 Tariff chaos continues
06:23 Good news for pre-owned watches?
07:47 Questions about tariffs remain
11:35 America’s watch renaissance
18:29 Leadership changes at Ben Bridge, Kendra Scott

Episode Credits
Hosts: Rob Bates and Victoria Gomelsky
Producer and engineer: Natalie Chomet
Editor: Riley McCaskill
Plugs: @jckmagazine; nivoda.com

Show Recap
Tariff chaos continues
How is the latest tariff news affecting the jewelry industry? Rob says that while numerous countries have been hit with increased U.S. tariffs, the focus now is on India, where the rate was set to rise from 25% to 50% on Aug. 27. The steep levy is meant to “punish” India for buying Russian oil, though Rob points out that the move seems slightly at odds with Trump’s own recent dealings with Russian president Vladimir Putin.

Also making headlines is the new 39% tariff on Swiss imports, including watches and possibly gold bars. “That will have a big impact on gold trading and…on the watch industry,” Rob says, citing Victoria’s Robb Report article on the topic.

Though the industry is still hopeful tariffs will drop to more modest levels, the bottom line is that putting these penalties on jewelry are “going to hurt,” in Rob’s opinion. “It’s definitely going to affect the economy and people’s budgets.”

He and Victoria already see prices rising everywhere. Even a McDonald’s Happy Meal for her son costs “a bundle” now, Victoria says.

Everybody’s trying to figure out ways to mitigate fallout from the tariffs, says Rob. But it’s not easy. When the Trump administration imposed high tariffs on China, some companies moved their manufacturing to India. Now that India’s been slapped with steep tariffs, some are moving their manufacturing to UAE, he reports. It’s a constant shuffle, in Rob’s words.

Good news for pre-owned watches?
Conventional wisdom says that tariffs will improve the market for pre-owned watches. (In fact, Bob’s Watches reported a 36% increases in sales in July.) But Victoria doubts the effects will last. She’s spoken to a number of Swiss watch retailers and pre-owned dealers, and “nobody thinks that long-term the tariffs are good for business,” Victoria says.

Brands like Rolex may focus on non-U.S. markets to avoid getting hit with tariffs, she notes. If they do so, concerns about supplies are bound to arise.

“When the primary market starts to stagnate because there isn’t a fresh supply coming, inevitably that does have a knock-on effect on the pre-owned market…at some point,” Victoria explains. “There’s no question that these markets work in tandem, and they depend on each other, so there is a great deal of consternation.”

Questions about tariffs remain
Although some sources think tariffs won’t affect the luxury market, Victoria disagrees. One sales rep who works with Indian jewelers told her recently that he and his clients are dismayed over the tariffs. Even consumers of pricey items are likely to balk at paying $20,000 for something that would have $13,000 or $14,000 a few months earlier, Victoria says. “Rich people stay rich because they are smart about how they spend their money,” she says.

It’s worth noting that consumers don’t directly pay for tariffs; the taxes are levied when goods enter the country, not as an addition to retail prices. The amount passed along to customers depends on distribution strategy and how much brands and retailers are willing to absorb. Companies with multiple layers of distribution can spread out the cost increases. By contrast, “some independents can’t afford to absorb any” tariffs and will pass the entire cost along to shoppers, Victoria predicts.

Rob notes that a lot of goods were shipped into the U.S. just before certain tariffs took effect in April and August. Those products are now in limbo, with suppliers hoping for a deal that will let them avoid paying steep tariffs. People just don’t know what’s ahead, Rob says. “It’s become like gambling,” as he puts it.

America’s watch renaissance
In more encouraging news, “the American watchmaking revival is on,” reports Victoria, who covered the topic for The New York Times earlier this month.

In the 19th and early 20th century, America was the world’s leading producer of watches, lauded for its ability to mass-manufacture using interchangeable parts. In Europe, by contrast, watchmaking “was much more of a cottage trade,” Vic says.

World War II marked a death knell for the American watch industry, when brands such as Hamilton, Elgin, and Waltham joined the war effort, changing their factories to produce a different kind of product. By the time the war ended, Switzerland had built up its watchmaking industry and was marketing to American customers, whose loyalty soon shifted. By 1969, the last watch produced entirely in U.S. came off the assembly line at a Hamilton factory. “And that was that. We never really thought about American watches again,” says Victoria. But now “there’s really a remarkable movement afoot here,” Vic says, as a number of independent makers are recognizing that it’s possible to manufacture timepieces in the U.S.

One such example is self-taught machinist and watchmaker Zach Smith of Columbus, Ohio–based Hour Precision. Zach creates almost every part that goes into his watches.

Meanwhile, Cornell Watch Company, an iconic brand founded in Chicago in 1870, is enjoying a revival under the leadership of lawyer and watch enthusiast John Warren, who acquired the rights to the Cornell name in 2023. Victoria recently got to see his newest watch, the Lozier. Everything on its outside—case, hands, dial, lugs—was manufactured by Zach Smith at Hour Precision. Only the movement was sourced from Switzerland, Victoria reports.

Some watchmakers are even starting to design movements in the U.S. The best-known at the high end is Torrance, Calif.–based Josh Shapiro. In 2023, he produced a watch called the Resurgence, which many consider the first modern timepiece to earn the “made in USA” label. “He did it all in his workshop at great cost and great effort,” Victoria says. The Resurgence ranges from $70,000 to $85,000 at retail, depending on case material and other customization aspects.

What’s more, these are quality timepieces. “Collectors aren’t going to buy it just because it’s made in America,” says Victoria. “They’re going to buy it because it’s a beautiful, well-made watch.”

Rob asks how U.S. makers are acquiring the skills to compete with Swiss craftsmanship. Victoria responds that these are small suppliers and individual artisans who aren’t bringing in workers. However, the Swiss company Horage, which is both a brand and a movement supplier, is offering a new option. At Worn & Wound’s Windup Watch Fair last month in Chicago, Horage introduced Road to USA, an initiative inviting American companies to partner with it and use Horage’s movement as a platform.

“I don’t think anyone sees America as the next great superpower in watchmaking,” says Victoria, but it’s still an exciting trend, especially for anyone nostalgic for the heyday of American watchmaking.

Leadership changes at Ben Bridge, Kendra Scott
Personnel shifts are underway in the executive ranks of jewelry giants Ben Bridge and Kendra Scott.

A couple of weeks ago, Ben Bridge CEO Lisa Bridge announced on LinkedIn that she’s stepping down. Her resignation seems linked to parent company Berkshire Hathaway’s decision to combine Ben Bridge and Helzberg into a new BH Jewelry Group headed by Helzberg CEO Brad Hampton. (For more, see Rob’s blog in JCK.)

Rob finds the development interesting because Warren Buffet’s approach was to let most Berkshire Hathaway brands—including Ben Bridge, Helzberg, Borsheims, and jewelry manufacturer Richline—operate separately. He wonders if the iconic investor’s decision to give up his role as CEO is a sign that Berkshire Hathaway may be transitioning into a more conventional company.

Consolidating can create efficiencies and savings, but “one of the things I’ve learned in this job is that even the mergers make sense on paper don’t always work out in practice,” Rob says. Ben Bridge and Helzberg may have cultural and operational differences, as well as different target demographics, he adds.

Ben Bridge’s Seattle headquarters will remain open for now, and neither Richline nor Borsheims will be absorbed into the BH Jewelry Group.

Over at Kendra Scott, CEO Tom Nolan has resigned, along with the company’s CFO and the head of human resources. Founder Kendra Scott will oversee her namesake brand for the time being.

What prompted those moves? Rob explains that Singapore-based 65 Equity Partners bought a minority stake in Kendra Scott last year and appointed a head of U.S. operations. Perhaps the new investor wanted changes in leadership, Rob theorizes.

Rob and Victoria agree that Lisa Bridge and Tom Nolan are both impressive professionals certain to land on their feet.

“Nobody expected these two departures,” says Rob. “It’s crazy days all around.”

Any views expressed in this podcast do not reflect the opinion of JCK, its management, or its advertisers.