The world’s biggest watch event opens to the public Thursday in Basel, Switzerland, on the back of a bumper year thanks to Asian demand for luxury timepieces.

Hublot, a subsidiary of French luxury goods group LVMH, will use the high-profile event to unveil “The $5 million” a watch comprising no less than 1,282 diamonds.

“This is the most precious watch ever created by Hublot and its long-standing partner, Atelier Bunter in Geneva,” said Hublot.

In 2012, the Blancpain Villeret collection welcomes its first model featuring a beautiful flinqué lacquered dial.

Several layers of translucent blue lacquer applied to the dial create a rich depth effect, while preserving the pure lines of its most classic collection.

The watch is housed in a 40mm white gold case, powered by the ultra-slim Blancpain Calibre 7663Q, a new self-winding movement.

Harry Winston has unveiled at Baselworld 2011 the Opus Eleven, created in partnership with Denis Giguet (MCT).

Three overlapping cylinders on three levels are configured to deconstruct time – the main circle is the hour’s domain, flanked by two pavilions.

One sub-circle shows the minutes on a jumping disk for the tens and a running disk for the units; the other shows off the beat of the big titanium balance-wheel.

To mark the 2011 Baselworld Fair Hublot is presenting a world first, with a minute repeater watch featuring two “Cathedral” type gongs, a tourbillon and column wheel chronograph, with carbon fiber bridges, in a case made from carbon fiber.

This is a perfect illustration of “Fusion” between great watchmaking tradition and the technology of the future.

Watchmakers gave upbeat forecasts for 2011 at the industry’s largest fair on Wednesday, although the deadly earthquake which hit key luxury consuming country Japan and Arab uprisings cast shadows over the expectations.

Industry giants including Swatch and LVMH have all posted strong recoveries over 2010 and they are expecting the recovery to continue in 2011.

Swiss exhibitors underlined that January sales were up 16.9 percent over a year ago and predicted that 2011 would be a new record year for the industry.

The new watch commemorates a special version of the Bentley Continental GTC Supersports which recently set a new world speed record on ice by driving at the impressive speed of 205.48 mph (330.695 km/h).

The event took place upon the frozen waters of the Baltic sea near Oulu, Finland.

The titanium-cased Breitling watch (worn by the driver during the feat) is set to be officially unveiled at Baselworld 2011.