De Beers is expected to post a loss for the first half of 2025, as parent company Anglo American cites “stock rebalancing initiatives” that led to the sale of rough diamonds at reduced margins. The move aimed to offload out-of-balance inventory, sold at lower prices than originally purchased, according to the group’s latest production report.

“Accordingly, we expect to report negative underlying EBITDA for De Beers in the first half of 2025,” Anglo American stated.

Consolidated rough-diamond sales (excluding joint ventures) rose 14% year-on-year to $1.19 billion in Q2, despite a 7% drop in volume to 6.8 million carats. Total sales, including joint ventures, slipped 3% to 7.6 million carats. The company attributed the performance to targeted sales efforts during the quarter.

These “stock rebalancing” transactions — effectively quiet, low-margin deals with sight-holders — were confirmed by a De Beers spokesperson. “These transactions incurred lower margins as they were purchased in a higher price environment than they were sold at,” the spokesperson told.

Despite lower-margin deals, the average consolidated price per carat rose 23% year-on-year to $174 in Q2, reflecting strong demand for higher-value stones. However, De Beers’ rough-price index (which excludes the discounted inventory sales) dropped 13%, largely due to price reductions implemented at its December 2024 sight.

For the full first half of 2025, consolidated rough-diamond sales fell 13% to $1.71 billion. Volume dropped 8% to 11 million carats (consolidated), and 3% to 12.3 million carats overall. The average price per carat fell 5% to $155, with a 14% decrease in the price index offset partially by higher-value goods sold in Q2.

Anglo American noted continued weakness in rough-diamond trading during the first half of the year. While sentiment improved toward the end of Q1, the U.S. tariff announcement in April stalled polished-diamond activity.

Consumer demand for diamond jewelry remained “broadly stable,” contrasting with the strained conditions in the midstream.

In response to market pressures, De Beers slashed its Q2 production by 36% year-on-year to 4.1 million carats. First-half output declined 23% to 10.2 million carats. Despite this, the company has maintained its full-year 2025 production forecast at 20 to 23 million carats but said it will “respond accordingly” as conditions evolve.

These developments come amid Anglo American’s ongoing efforts to sell De Beers. On Wednesday, Botswana’s Minister of Minerals and Energy, Bogolo Kenewendo, stated the country’s intent to increase its ownership stake, seeking “full control over this strategic national asset and the entire value chain, including marketing.”

“A formal process for the sale of De Beers is advancing, despite the current challenging market conditions,” Anglo American confirmed.

Cartier, IWC Schaffhausen, and Piaget have officially launched exclusive retail boutiques aboard Luminara, the newest vessel in The Ritz-Carlton Yacht Collection. This collaboration marks a first-of-its-kind retail experience at sea, made possible through a partnership with Starboard Luxury, the high-end division of Starboard Group.

This elegant retail concept brings together some of the world’s most renowned names in luxury, offering guests the opportunity to browse fine jewelry, Swiss timepieces, and expertly curated accessories—all while cruising aboard a superyacht.

In addition to the onboard boutiques, guests can enjoy personalized experiences including private viewings, in-suite appointments, and one-on-one shopping sessions with knowledgeable brand ambassadors.

“Starboard Luxury is honored to unite four legendary luxury brands—Cartier, IWC Schaffhausen, Piaget, and The Ritz-Carlton Yacht Collection,” said Stacy Shaw, Senior Vice President, Luxury & Resorts, Starboard Group. “This debut underscores our commitment to redefining luxury retail with exceptional experiences at sea.”

As the third ship in The Ritz-Carlton Yacht Collection, Luminara will explore the Mediterranean throughout 2025 before expanding its itineraries to the Asia-Pacific region and Alaska in 2026.

“Bringing Cartier, IWC, and Piaget aboard Luminara reflects our dedication to delivering elevated, meaningful experiences at sea,” said Ernesto Fara, President of The Ritz-Carlton Yacht Collection. “Together with Starboard Luxury, we’re connecting our guests to iconic maisons that share our values of craftsmanship, heritage, and excellence.”

The Chinese gold jewellery market presents a paradox: declining volume demand but rising consumer spending. Ray Jia, Research Head, ChinaWorld Gold Council says despite tonnage demand falling 49% since its 2013 peak, Chinese consumers spent RMB84 billion on gold jewellery in Q1 2025 alone, representing a 29% quarterly increase. This shift reflects gold’s dual role as both fashion accessory and investment vehicle in an uncertain economic climate.

Market Overview

Current Market Dynamics:

• Gold jewellery ownership reaches 81% among Chinese consumers, up from 62% in 2019
• Young consumers (18-24) show 62% ownership rates, significantly higher than other jewellery types
• Self-purchase dominates, with 79% buying for themselves versus 41% for others
• In-store purchases remain preferred (81%), though online channels are growing rapidly

Economic Context: The market faces both cyclical and structural headwinds. China’s economy remains stuck in a prolonged transition phase between passive destocking and active restocking, while demographic shifts including declining birth rates and marriages reduce traditional demand drivers.

Consumer Insights

Purchase Motivations:

• Cultural significance and traditional value remain primary drivers
• Investment and value preservation increasingly important amid economic uncertainty
• Quality, craftsmanship, and style personalization are top functional requirements
• Joy, confidence, and self-reward drive emotional purchase decisions

Key Barriers:

1. Affordability concerns due to surging gold prices
2. Lack of occasion-specific positioning
3. Design limitations that don’t match evolving consumer preferences

Market Opportunities

Immediate Growth Potential:

• 67% of consumers would consider purchasing gold jewellery within 12 months
• 75% of previous buyers likely to repurchase
• 27% of non-purchasers open to first-time buying

Strategic Recommendations:

1. Strengthen Occasion-Based Marketing

Gold jewellery underperforms other jewellery types during key occasions like Chinese Valentine’s Day and Mother’s Day. Enhanced emotional positioning and targeted marketing campaigns could capture these missed opportunities.

2. Emphasize Quality and Assurance

Consumers prioritize quality, trust, and guarantees when making jewellery purchases. Brands should leverage warranties, transparency, and craftsmanship messaging to differentiate from competitors.

3. Target Key Consumer Segments

• Brand-Oriented Trendsetters (20%): Focus on trendy designs from recognized brands
• Purposeful Consumers (15%): Emphasize investment value and environmental responsibility
• Traditionalists (27%): Highlight cultural heritage and superior craftsmanship

Future Outlook

While tonnage demand may continue declining due to macro pressures and demographic shifts, value-based growth opportunities remain strong. The gold price relative to Chinese household income remains at historical averages, suggesting room for continued spending growth.

Success will depend on the industry’s ability to innovate product designs, strengthen emotional connections with consumers, and effectively communicate gold’s unique value proposition as both cultural artifact and financial asset.

Key Metrics

• Market Penetration: 81% gold jewellery ownership
• Young Consumer Adoption: 62% among 18-24 age group
• Purchase Intent: 67% considering purchase within 12 months
• Quarterly Spending: RMB84 billion (Q1 2025)
• Demand Decline: 49% volume decrease since 2013 peak