CLOCKS AND WATCHES AND PARTS THEREOF

Chapter 91 of the Combined Nomenclature covers clocks, watches and their parts. The chapter includes: wrist-watches, pocket-watches and other watches, with cases of precious metal or of base metal (9101-9102), clocks with watch movements (9103), instrument panel clocks and clocks for vehicles (9104), alarm clocks and other clocks (9105), time-recording apparatus and apparatus for measuring, recording or otherwise indicating intervals of time (9106-9107), watch movements, complete and assembled (9108-9109), complete clock movements, unassembled or partly assembled (9110), watch cases and their parts (9111), clock cases and their parts (9112), watch straps and watch bracelets, and their parts (9113), and other clock and watch parts (9114). This chapter covers both luxury Swiss watches and mass-produced electronic clocks from Asia. Smartwatches and intelligent watches may be classified under Chapter 91 if their primary function is to indicate the time. The import of watches and clocks into the EU is of significant commercial importance, with the main suppliers being Switzerland, China, Japan and Hong Kong.

Customs duty rates on clocks and watches under Chapter 91 are moderate. Wrist-watches (9101-9102) are subject to rates of 4.5-6.5% depending on the type of movement and case material. Watches with cases of precious metal carry a 4.5% rate. Clocks (9103-9105) are subject to duties of 3.2-4.7%. Watch movements (9108-9109) carry rates of 4-5%. Watch cases have rates of 2.5-4.5%. Straps and bracelets are subject to duties of 2-4%. Spare parts for clocks and watches generally carry rates of 2.5-4%.

When classifying watches and clocks, the key distinction is between wrist-watches (worn on the person) and clocks (stationary). The case material affects the tariff heading - watches with cases of precious metal are classified separately. The type of movement (mechanical, quartz, electronic) determines the subheading. Smartwatches are classified under Chapter 91 if their main function is timekeeping, or under Chapter 85 if the communication function prevails. Watch bracelets of precious metal may be subject to classification under Chapter 71.