Hong Kong Watch & Clock Fair

The traditional autumn gathering of the watch industry, the 35^th of its kind, was held in Hong Kong from 6 to 10 September. As everyone knows, the watch industry is living in challenging times. South East Asia, for a long time the driving force behind the sector pushing sales up to new peaks, is now just freewheeling. However, in the exhibition guide the organisers took a reassuring stance, stressing the continuous expansion of the event and saluting the presence of 800 exhibitors from 27 different countries. In particular, a sustained effort was made to host the best-known brands in a reserved space curiously known as the “Salon de TE” which brought together some 150 exhibitors classed in the official guide as belonging to the "prestige" category. On site, the overall impression was rather different. Large exhibition spaces remained vacant with no exhibitors present at all. Clearly, last minute cancellations were numerous. In the area which was vacant for the first time, the organiser set up a parallel exhibition focused on fashion accessories and garments as a way of occupying the space and attracting a different audience. Despite these praiseworthy efforts, attendance remained sparse from the first to the last day.

As it has done since 2008, the FH set up its surveillance operation on behalf of some fifty different brands. In an economic context which has been depressed for months on end with no real prospect of short-term recovery, would such hard-pressed exhibitors go on to the attack? Moreover in this complicated environment how would the organisers respond to our action and deal with our complaints? The background conditions were therefore highly uncertain as the exhibition began.

On a more technical note, we have already called attention to the systematic propensity of Chinese exhibitors to test the limits when it comes to design. Swiss watch manufacturers’ successful models are examined from every angle to isolate THE essential distinctive feature. That feature is then reproduced identically on an everyday model, conferring upon it a close visual resemblance or at least a degree of similarity with a famous design. This is where the problem lies: when can we consider that a registered design has been breached? How many distinctive features must be copied for the infringement to be deemed to have occurred? The reader will have understood that it is all a matter of perception and weighting which makes the analysis, and hence the investigative work, much more complicated.

Another task of surveillance is to detect any unlawful use of the indication of origin “Swiss”. Thanks to our certification mark, action is taken to prevent unlawful use on the basis of trademark law. That arrangement works rather well on the occasion of the Hong Kong exhibition. For the fourth time, we used our certification mark against an exhibitor who was presenting a line of watches with the indication "Swiss". Examination of the watches on display clearly revealed the words "SWISS MOVT" on the dial. The indication "MADE IN PRC" appeared equally clearly on the back. The fraud was therefore manifest and punishment ensued rapidly. The pieces were withdrawn from the showcases. The exhibitor who had been caught red-handed signed an undertaking by which he acknowledges the fact that he now knows the conditions under which the designation “Swiss” may be used for watches.

September 29, 2016