I879-I880 - The Italian Competition Authority launches investigation into Citizen and Swatch
PRESS RELEASE
Citizen and Swatch, two leading watch manufacturers, may be using commercial strategies that limit price competition among their retailers through a vertical agreement restrictive of competition
The Italian Competition Authority has launched an investigation into Citizen Watch Italy S.p.A. and its Japanese parent company, Citizen Watch Co. Ltd., and another investigation into The Swatch Group (Italia) S.p.A. and its Swiss parent company, The Swatch Group Ltd. The investigations centre on a possible infringement of Article 101 of the Treaty on the Functioning of the European Union (TFEU), consisting in the fixing of retail prices displayed online by the groups’ authorised distributors (jewellers and watch retailers).
Citizen, a leading manufacturer and distributor of several watch brands – among which, in addition to Citizen, also Bulova, Vagary, Fréderique Constantine and Alpina – may be instructing its selective distribution network to follow imposed retail prices. At the same time, Citizen seems to be monitoring their pricing practices and adopting retaliatory commercial measures against distributors offering discounts and prices that differ from those indicated.
Swatch, another major producer and marketer of several watch brands – among which, in addition to Swatch, Tissot, Mido and Hamilton – also seems to impose retail prices and monitor its selective distribution network, adopting retaliatory commercial measures against distributors that fail to comply.
According to the Authority, the resale price-fixing system implemented by the two groups may constitute a hardcore restriction under Article 4(a) of Commission Regulation (EU) No. 720/2022, as well as a violation of Article 101 TFEU.
Inspections at the premises of Citizen Watch Italy S.p.A. and The Swatch Group (Italia) S.p.A. were carried out on Wednesday 3 December by the Authority’s officials, assisted by the Special Antitrust Unit of the Italian Financial Police (Guardia di Finanza).
Rome, 9 December 2025