Recent months have seen the value of diamonds become the subject of much interrogation, with the emergence – and relative popularity – of lab-grown gems, and a broader decline in luxury spending the key factors weighing heavily on the industry. In February, De Beers CEO Al Cook acknowledged that the brand had built up a diamond inventory worth around US$2 billion. This excess of supply led to a halt in production and on April 23, the diamond specialists announced a reduction in global output to 26-29 million carats, down from 29-32 million.
According to a production report by De Beers’ parent company Anglo American, this has led to a rise in average cost from US$80 to US$90 per carat. Nevertheless, De Beers has hailed 2024 as the year for a rebound. “The recovery in rough diamond demand is expected to be gradual through the rest of the year,” Anglo American said.
{"@context":"https://schema.org","@type":"ImageObject","caption":"De Beers’ 1888 Master Diamonds collection","url":"https://img.i-scmp.
com/cdn-cgi/image/fit=contain,width=1024,format=auto/sites/default/files/d8/images/canvas/2024/08/15/509f2fc2-5768-4f0c-bf77-653ce2cf3a05_3225703e.jpg"} De Beers’ 1888 Master Diamonds collection The prediction rests on belief in a wider economic recovery, creating more spending power in luxury sectors, as well as a decline in the price of natural diamonds’ lab-grown counterparts. Lab-grown diamonds had been claiming an increasingly large market share, which led to a significant impact on natural diamond sales and valuation.
However, a recent decline in sales points to a changing tide. “They have fallen by more than 90 per cent over the last two years,” De Beers’ Cook said of lab-grown diamonds. “And customers clearly see now that natural diamonds and lab-grown diamonds are two entirely different things.
” {"@context":"https://schema.org","@type":"ImageObject","caption":"Louis Vuitton Wave bracelet, from the Deep Time high jewellery collection","url":"https://img.i-scmp.
com/cdn-cgi/image/fit=contain,width=1024,format=auto/sites/default/files/d8/images/canvas/2024/08/15/efa6c156-150c-4e37-99a4-f88eaba5c4c9_7017e863.jpg"} Louis Vuitton Wave bracelet, from the Deep Time high jewellery collection There is also renewed focus on the sustainability of man-made diamonds . While there are well-documented environmental and ethical considerations with natural diamonds, the man-made market also faces environmental considerations, especially as more than 60 per cent of the stones are produced in China and India, which both rely heavily on coal for electricity production.
Last autumn, De Beers withdrew its trial of lab-grown diamond engagement rings , piloted under its lab-grown label, Lightbox, calling their commercial proposition “likely unsustainable”. Cormac Kinney, CEO of commodities traders Diamond Standard, anticipates a further dip of between 50 and 80 per cent in lab-grown diamond sales. As he told Business Insider, “Only real is rare.
” {"@context":"https://schema.org","@type":"ImageObject","caption":"Gemstones produced by De Beers’ lab-made diamond arm, Lightbox Jewelry","url":"https://img.i-scmp.
com/cdn-cgi/image/fit=contain,width=1024,format=auto/sites/default/files/d8/images/canvas/2024/08/15/1a2f8a90-565c-486e-a92a-67186a941edd_e54985f0.jpg"} Gemstones produced by De Beers’ lab-made diamond arm, Lightbox Jewelry A cursory glance at this season’s new high jewellery collections makes it clear that the world’s leading designers understand the power of that message. Louis Vuitton and Graff have both released new jewellery collections doubling down on natural diamonds.
Louis Vuitton’s Deep Time high jewellery collection pays tribute to the transformative power of time as it shapes natural diamonds and other precious metals. The striking collection is made up of 170 pieces across 16 themes that explore the origins of precious gems and how they have been moulded over millennia under the Earth’s surface. “Deep Time will transport you deeply into the past, to a time and place that is so remote and perhaps even difficult to comprehend,” Louis Vuitton’s artistic director of watches and jewellery Francesca Amfitheatrof said of the collection.
“But at the same time, the stones – these treasures that span millennia – will bring you right there, to the beginning of the planet and into a history of the world and its mystical geological legacy.” {"@context":"https://schema.org","@type":"ImageObject","caption":"Louis Vuitton Wave necklace, from the Deep Time high jewellery collection","url":"https://img.
i-scmp.com/cdn-cgi/image/fit=contain,width=1024,format=auto/sites/default/files/d8/images/canvas/2024/08/15/1d9d6eb1-f3a2-47cd-a332-c00989fb7e1c_7017e863.jpg"} Louis Vuitton Wave necklace, from the Deep Time high jewellery collection One piece within the collection, the Symbiosis necklace, paid tribute to the collection’s inspiration in more ways than one, with the labour of love taking a reported 1,381 hours to complete.
Another piece in the collection – the Laurasia necklace – drew inspiration from a point in time when just two supercontinents existed: Gondwana and Laurasia. The necklace features a 5.02-carat emerald-cut yellow diamond as the central stone, completed with yellow diamonds set into platinum, yellow and pink gold.
The brand has also recently announced the launch of LV Diamonds, a fine jewellery collection marking life’s greatest moments, complete with its signature gemstone presented in a new LV Monogram Star cut. {"@context":"https://schema.org","@type":"ImageObject","caption":"Lab-grown diamonds sold under De Beers’ Lightbox brand","url":"https://img.
i-scmp.com/cdn-cgi/image/fit=contain,width=1024,format=auto/sites/default/files/d8/images/canvas/2024/08/15/816dab66-7c87-4a5f-b92e-8736ddc3ac11_16f99253.jpg"} Lab-grown diamonds sold under De Beers’ Lightbox brand “With LV Diamonds, Louis Vuitton is also deepening and expanding its commitment to sustainable environmental and social practices.
The maison has introduced the first-ever fully digital blockchain-based Louis Vuitton Diamond Certificate,” the brand said. At British diamond specialists Graff , the new high jewellery collection Galaxia features more than 1,100 carats of diamonds and precious gemstones, its design “universe” inspired by the piercing clarity of diamonds. “Throughout our design process, we drew inspiration from the unique qualities and individual nuances of each diamond and gemstone, but also from the virtues that we associate with femininity, such as power, creativity and strength,” said Anne-Eva Geffroy, design director at Graff.
“For this reason, each jewellery creation is imbued with a figurative energy that is contemporary yet timeless while also remaining true to the legacy of the house.” The value of lab-grown diamonds has fallen by more than 90% over two years, per De Beers CEO Al Cook, while Cormac Kinney, CEO of Diamond Standard, anticipates a further 50-80% dip in sales Louis Vuitton’s Deep Time Laurasia necklace has a 5-carat yellow diamond at its centre, while Graff’s Galaxia collection features more than 1,100 carats of diamonds and precious gemstones.
