Drooid Logo
Back to today’s briefing

Story perspectives

Swatch Faces Boycott Over Controversial Ad in China

8/20/2025

36 4 Full Breakdown

1 of 1

Story summary
  • Swatch's ad featuring an Asian model pulling his eyes back caused outrage in China, prompting boycott calls on social media.
  • Despite a public apology and ad removal, many consumers deemed the response insincere, accusing Swatch of prioritizing profits.
  • The incident underscores the challenges Western brands face in China regarding cultural sensitivity, with past boycotts affecting brands like H&M.
  • Swatch relies heavily on China for 27% of its revenue, which has declined amid economic challenges.
  • The company also faces financial pressure from a 39% tariff on U.S. exports and a projected 14.6% revenue drop in 2024.