DiamondBuzz
US Jewellery Industry faces $117 Billion threat amid proposed diamond tariffs
The World Diamond Council (WDC), representing the global natural diamond value chain, has raised concerns over proposed U.S. tariffs that could place the $117 billion American jewellery industry at significant risk. In a formal appeal, the WDC urged the U.S. Administration to exempt natural diamonds (HS Codes 7102.10 and 7102.31) from the ongoing tariff review and include them in Annex II, citing their critical role in the nation’s economic and manufacturing sectors.
Natural diamonds, though not produced in the U.S., are essential to the health of the domestic jewellery market — a sector supporting over 200,000 American jobs and generating over $91.5 billion in annual sales. The combined impact of jewellery manufacturing and exports adds another $25.5 billion to the economy each year.
The WDC warns that tariffs on natural diamonds would effectively act as a consumption tax, raising prices on popular items like engagement rings and anniversary jewellery, placing additional financial strain on American families. Retailers are already experiencing inventory concerns, with inflationary pressures beginning to impact consumer prices.

“A tariff would destabilize the supply chain, weaken U.S. manufacturing competitiveness, and increase costs for consumers,” said Feriel Zerouki, President of the World Diamond Council. “We support the U.S. Government’s goal of fair trade, but urge an exemption for natural diamonds to protect jobs, competitiveness, and consumer access.”
The United States is the world’s largest consumer of natural diamond jewellery. The WDC emphasized that continued access to these goods is vital to preserving the innovation, craftsmanship, and entrepreneurship that define the American jewellery industry.
WDC members are actively engaging with U.S. officials, calling for a collaborative resolution that supports fair trade without undermining one of America’s most valuable consumer markets.
DiamondBuzz
India Has Emerged As The Most Important Startup Market In LGD Segment, Home To 70 Lab-Grown Diamond Companies
Surat Has Developed An Extensive Ecosystem Over Several Decades. LGD Give This Ecosystem An Opportunity To Move Into A New Segment Of The Global Diamond Economy.
According to startup intelligence platform Traxcn, the global Lab Grown Diamond brands sector comprises 158 companies, including 23 funded companies that have collectively raised more than $229 million over the past decade. Of these, 12 have reached Series A funding or beyond, indicating the category has moved well beyond experimental startups.
India is home to 70 lab-grown diamond companies—the highest number in any country. The United States follows with 37, the United Kingdom has 14, the UAE nine, Australia five, and China three.

Data shows 22 lab-grown diamond companies were founded in 2023—the highest number in any year over the past decade. That was followed by 11 in 2024 and seven in 2025. In 2026, only one new startup had been founded so far, according to Traxcn.
The numbers underline India’s considerable advantage. The country has long been one of the world’s most important centres for the diamond business, particularly in cutting and polishing. Surat has developed an extensive ecosystem of manufacturers, skilled workers, exporters and jewellery businesses over several decades. Lab-grown diamonds give this ecosystem an opportunity to move into a new segment of the global diamond economy.

The sector received approximately $43.6 million in 2019, before funding fell sharply to $4.76 million in 2020. It recovered to $16.4 million in 2021 before peaking in 2022. Funding then dropped substantially—just $1.1 million in 2023 and $7.1 million in 2024—before rebounding sharply in 2025.This volatility suggests investors are still trying to understand the long-term economics of the industry.
Lab-grown diamonds are evolving beyond a single business category. The sector includes manufacturers, technology companies, exporters, retailers and consumer-facing jewellery brands. Their economics and risks are very different. Manufacturers invest heavily in technology, machinery and production capacity, while jewellery brands spend on design, marketing, stores and customer acquisition.
Traxcn data highlights another divide: India has more companies, while the US has attracted more capital. India has 70 lab-grown diamond companies compared with 37 in the US and 14 in the UK. The US has received about $126 million in funding over the past decade, compared with $97.2 million for India. Globally, the sector comprises 158 companies that have collectively raised more than $229 million.
Yet the industry’s biggest advantage—affordability—could also become its biggest challenge. As manufacturing technology improves and capacity expands, production costs and diamond prices can decline. Lower prices may stimulate demand, but they can also compress margins and reduce the value of existing inventory.
This changes the competitive equation. As stones become increasingly standardised, the battle may shift from who makes the diamond to who creates the strongest consumer proposition. Design, certification, trust, retail experience, after-sales service and branding could become increasingly important.
The experience of platinum offers a useful lesson. Marketing helped create a distinct consumer proposition around platinum, but changing preferences and price movements later challenged its position.
For lab-grown diamonds, the central question is therefore not simply how much demand can be created, but whether companies can build lasting brand value and healthy margins around a product whose supply can continually expand. The technology may make diamonds cheaper; the brand will determine where the value ultimately resides.
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