|
 |
Good afternoon, Press Pass readers. Thursday is here again, which means today’s newsletter is exclusively for Bulwark+ members, but it can be yours, too, at no cost. All you need to do is sign up for a free 30-day Bulwark+ trial at the link below. Don’t let it sit after you sign up, either—use your month of full access to explore everything we offer and see if you think the value is commensurate with the cost. Like the summertime, though, this offer won’t last forever. Gather ye Bulwark+ trial memberships while ye may.
Before we dive in, I wanted to let you know that I’m gonna be doing another TikTok Live on Friday at noon EDT, this time with Dave Jorgenson. Some of you might know Dave as the Washington Post TikTok Guy, but he’s since departed the paper for his own venture. Dave and I worked together in the pre-Trump era, and we’ll be discussing some of the less serious moments of the week. It’ll be fun, and we could all use some of that, so tune in tomorrow.
Today’s edition begins with the latest round of tariffs. We’re looking at how they will hurt America’s watchmakers, specifically, and particularly in the key battleground state of Michigan. In addition, Sen. Bill Cassidy (R-La.) has been eating a steady diet of his own words about Robert F. Kennedy Jr., whom he backed for HHS secretary. How is Cassidy feeling about that vote now in light of RFK’s latest action, one of his most unsettling yet? Lastly, we’ll check in on Rep. Mike Flood (R-Neb.), who’s still feeling the burn from his brutal town hall earlier this week. All that and more, below.
 |
PRESIDENT DONALD TRUMP IS ONCE AGAIN unilaterally imposing tariffs affecting the imports of dozens of countries, and just like last time, the new levies are being applied so haphazardly that they could inflict considerable damage to American industries.
The latest round of import taxes affects one country in particular that watch enthusiasts had earnestly hoped might be excluded: Switzerland, imports from which will now carry a new 39 percent tariff. I understand that this news might inspire you to reach for the world’s smallest violin, but before you give yourself over to mocking the sorts of people who are in the market for timepieces that sometimes cost more than minivans, consider how this extra strain on the complex Swiss watch industry could also hurt American companies.
The new tariff rates mean that a watch with a $10,000 sticker price would now cost closer to $14,000 even before taxes and shipping fees are added. As Andy Hoffman at Hodinkee writes,
At 39%, the tariff level imposed on Swiss goods, that excludes pharmaceuticals, is among the highest in the developed world. Other watch making countries including Japan and Germany—as part of the European Union—are facing U.S. tariffs of 15%. With demand for Swiss watches in Europe and China waning, the U.S. market has been a key industry growth driver for the past five years with about 20% of the industry's exports going to the U.S.
But don’t look at this from the perspective of an executive at say, Rolex. Hoffman added, “entry and mid-level priced brands will likely be affected more strongly by the significant shift in U.S. trade policy.”
And there are consequences for American watchmakers, too. Consider: Shinola watches are assembled in Michigan, but the company...
Join The Bulwark to unlock the rest.
Become a paying member of The Bulwark to get access to this post and other subscriber-only content.
A subscription gets you:
 | Unlimited access to articles and all our newsletters including Morning Shots by William Kristol and The Triad by JVL. |
| Ad-free versions of all our shows including member-only shows: The Secret Podcast, Just Between Us; and livestreams. |
| Plus community chats and commenting features. Your support helps keep our work sustainable. Cancel anytime. |