Lab grown diamond industry overview in 2023

The global rough supply of lab grown diamonds (used in the jewelry industry, excluding centite, that is, diamonds with a single weight less than 0.01ct) in 2023 will be approximately 15 million carats, much higher than the situation of less than 1 million carats in 2017/2018; Paul Zimnisky expects lab-grown diamond production to grow at double-digit annual rates over the next five years.


Chinese lab grown diamond producers currently supply more than 10 billion carats of diamonds for the abrasives industry every year, and have been upgrading existing production equipment to produce larger and higher-quality gem-grade lab-grown diamonds; considering the scale of production, With the potential for scalability, Chinese producers may aim to become a global producer of high-volume, low-cost lab-grown diamonds for the jewelry industry.
India is home to a rapidly growing number of lab-grown diamond production companies. In view of the Indian government's subsidized energy costs for lab-grown diamond producers and India's competitive advantage of having the world's largest diamond processing center, many traditional natural diamond processors in India have expanded their business into the field of lab-grown diamonds. In 2022, the State Bank of India "formally" formulated a policy to provide term loans to Indian lab-grown diamond producers for the purchase of production equipment.

Diamond Foundry, the largest producer of lab grown diamonds in the United States, successfully raised US$200 million in 2021 with an asset valuation of US$1.8 billion; the company said it will use part of this financing to increase annual production from an estimated 1 million carats in 2020 3-5 million carats by 2023. WD Lab Grown Diamonds, the second largest producer of lab-grown diamonds in the United States, filed for bankruptcy at the end of 2023 and re-emerged as a "WD Advanced Materials Company" after bankruptcy, dedicated to using lab-grown diamonds as "metamaterial" applications for semiconductors and quantum diamond substrates .

Israeli lab grown diamond producer LUSIX has received $90 million in financing from LVMH Luxury Ventures, the investment arm of the world's largest luxury goods group, LVMH Group, in 2022. LUSIX provides cultivated diamonds for the "Carrera Plasma Tourbillon Nanograph" watch product of TAG Heuer, a subsidiary of LVMH. Perhaps the greatest potential of lab-grown diamonds in the jewelry field is to enable uses that are not possible with natural diamonds, such as all-diamond rings, custom diamond shapes/colors, etc.

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