The global diamond market size was valued at USD 94.96 billion in 2021. It is projected to reach USD 139.91 billion by 2030, growing at a CAGR of 4.4% during the forecast period (2022–2030). A diamond is a rare mineral that forms when carbon is exposed to extreme pressure for millions of years. They are formed under extreme pressure and temperature conditions and come from about 100 miles beneath the earth's surface. Furthermore, they are 58 times harder than any other material found on the planet. Diamond is the world's most concentrated form of pure crystalline carbon, with the highest hardness and thermal conductivity. Diamonds are used in various industrial applications, including polishing and cutting tools. It is well-known for its beauty as a gemstone all over the world.
Furthermore, it is popular among consumers because it is regarded as the most valuable ornament. Diamonds are used to create jewelry that is in high demand at weddings and other special occasions. Rough diamond revenue growth is primarily due to increased production by smaller players.
| Report Metric | Details |
|---|---|
| Base Year | 2021 |
| Study Period | 2020-2030 |
| Forecast Period | 2023-2031 |
| CAGR | 4.4% |
| Market Size | USD 139.91 billion by 2030 |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
| Report Coverage | Revenue Forecast, Competitive Landscape, Growth Factors, Environment & Regulatory Landscape and Trends |
| Geographies Covered |
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Countries are significantly increasing their contributions to the market, and market demand has increased. Most of the country's millennial population is responsible for the rising demand for diamond jewelry. Considering the expanding market for diamond jewelry in the country, the existing market participants are trying to increase their investment level and broaden their target audience's demographics. The perforation of diamonds for sale through an online business, the development of new diamond-based industrial products, and the targeting of customers with newly designed jewelry all have the potential to create significant opportunities for the market.
Diamonds are widely used in the abrasive industry due to their extreme hardness (ten on the Mohs scale). This application accounts for the vast majority of diamonds used in industry. Saw blades, drill bits, and grinding wheels can all contain traces of diamond because of their manufacturing process. After that, these instruments are utilized for cutting, drilling, or grinding rigid materials. The construction industry's growth is driving the global market for industrial diamonds. Diamonds are used in construction for cutting, drilling, polishing, and grinding. Glass, concrete, bricks, stones, coal balls, and ceramics are all cut with industrial diamonds.
It is anticipated that some market growth will be inhibited by the rising price uncertainty surrounding this natural gem due to the high cost of extraction and high product demand. The rising demand for lab-grown synthetic diamonds will drive the market's growth during the forecast period. Diamond price fluctuations have impacted the diamond industry in recent years. Diamond prices fluctuate due to various socioeconomic factors, including consumer perception, rough diamond production, currency fluctuations, and shifting consumer buying patterns. The profitability of diamond manufacturers is negatively impacted by such price volatility.
North America dominates the global diamond market and accounts for the largest revenue share during the forecast period. One of the main factors driving synthetic diamond penetration in this region is the rising product demand for industrial applications. Machinery manufacturing, construction, and mining services are among the major industries that use synthetic diamonds in industrial applications. Buildings, highways, stone cutting, and repair applications accounted for most synthetic diamond consumption in the industrial sector. In addition, precision machining of ceramic parts for aerospace, laser radiation equipment, and circuit heat sinks are expected to drive demand for synthetic diamonds and related products in industrial applications. The Asia-Pacific region has emerged as the second-largest diamond market in the world. Demand for jewelry is increasing in developing countries such as China and India. As a result, market participants have increased their regional investments, citing the region's promising future sales.
The natural product segment dominated the market with the highest revenue share during the forecast period. These are extremely rare and are primarily used in jewelry. Finding and processing entail time-consuming procedures, making them costly in the jewelry industry. Despite the challenges posed by cheaper lab-grown jewelry alternatives, natural diamonds' inherent allure remains strong and is anticipated to remain so in the coming years. High-Pressure, High-Temperature (HPHT), and Chemical Vapor Deposition (CVD) processes are used to make synthetic diamonds. They're primarily used in industrial settings for things like cutting and drilling. However, due to a significant reduction in the cost of manufacturing synthetic jewelry, its market share has increased in recent years.
The jewelry application has taken control of the market. The growing middle-class population and the increasing spending power of millennials and generation Z contribute to the jewelry segment's growth. Millennials prefer to spend their extra cash on experiences such as travel over luxury items. Synthetic or lab-grown products have a much higher penetration in industrial applications. Industrial diamond is primarily used as an abrasive, and demand from industries such as metal machining, construction, and exploration drilling has steadily increased in recent decades.
The global diamond market’s major key players are
In May 2022: De Beers group introduced the world's first blockchain-backed diamond source platform at scale. De Beers Group has deployed the TracrTM blockchain platform at scale for its diamond production. TracrTM is the world's only distributed diamond blockchain that starts at the source and provides tamper-proof source assurance.
In April 2022: De Beers Group signed Mineral Investment Contracts with Angola. De Beers Group announced it had signed two Mineral Investment Contracts (MICs) with the Government of Angola for license areas in north-eastern Angola. The signing of the MICs follows the announcement in late 2021 that De Beers had applied to explore Angola following substantive reforms in the country's diamond sector.
