De Beers: Can you win the chaotic diamond market?

Summary In the second half of 2013, the entire international diamond market did not seem to have calmed down. First, India broke the news that the first synthetic diamond was pretending to be a natural diamond. Then the international market was gradually affected by these synthetic diamonds. The shiny gem-quality industrial synthetic diamond did not...
In the second half of 2013, the entire international diamond market did not seem to have calmed down. First, India broke the news that the first synthetic diamond was pretending to be a natural diamond. Then the international market was gradually affected by these synthetic diamonds. The shiny gem-quality artificial industrial diamond not only confuses the diamond consumers, but also makes diamond manufacturers and jewelry retailers. A big headache. Although major international diamond organizations and institutions have begun to deal with it, the results have been minimal and even intensified. Recently, even the global diamond production giant De Beers seems to be unable to sit still, and has introduced a series of containment measures in a nearly "roaring" posture.


De Beers has sternly demanded that all its customers ban the use of synthetic diamonds as diamonds. This move seems to be to conceptually kick synthetic diamonds out of the diamond family.

Synthetic diamonds can be produced in just a few days under laboratory conditions; diamonds are formed over hundreds of millions of years in the depths of the Earth.

De Beers has previously provided specialized testing equipment to help the diamond industry identify genuine and fake products. In fact, diamonds made of synthetic diamonds are much cheaper than natural diamonds, but these pseudo-diamonds are sold on the market at the high price of natural diamonds; this not only impacts the order and healthy development of the diamond market in an improper manner, but also Serious violation of industry ethics. At present, De Beers seems to have reached the extreme for the dislike and rejection of synthetic diamonds entering the diamond market. These low-cost stones, which should have been used in industrial technology equipment, have swept into the diamond market, making it difficult for people to distinguish between true and false.

De Beers made it clear that natural diamonds are a natural mineral that is crystallized from pure carbon with a cubic structure in an equiaxed system.

De Beers pointed out to 81 of its direct management customers that it is necessary to strictly distinguish synthetic diamonds from diamonds. Any impersonation and any misinformation will bring unparalleled loss of honor to the diamond industry.

“Never use the concept of 'diamonds' to refer to any other product that does not fit this concept, including synthetic diamonds,” De Beers’s announcement clearly states.

For De Beers, the biggest difficulty at present is that there are too many people involved in this huge diamond industry chain. It is really difficult to really supervise, and the implementation is very little in practice.

Some industry insiders have different opinions. Martin Rapaport, chairman of the international diamond service company Rapaport Group, commented that the influx of jewelry-grade synthetic diamond into the diamond market is an indisputable fact. In terms of advanced technology and beautiful appearance of synthetic diamond manufacturing, This is a major highlight of the diamond and diamond game. Martin Rapaport also said that this is actually the performance of Darwinism: the survival of the fittest, the survival of the fittest. It depends on who is more competitive in the market.

There are also some consumers who disagree with this. They think that De Beers has always been able to make the marketing method of “Diamonds last forever, one forever”; customers want to buy a natural diamond, it will cost nearly $4,825. De Beers's so-called 4Cs price system, buyers have to pay for each C, that is, Customer, Cost, Convenience and Communication. These consumers also believe that a diamond that is buried deep underground for hundreds of millions of years may be of interest to geologists; if it is to be rare, expensive prices should never be spread to customers. If you really want to find value and meaning on 4Cs, buying artificial diamonds and natural diamonds is not much different.

In addition, it is quite dramatic that a branch of De Beers, Element Six, is a company that produces synthetic diamonds in laboratories around the world. Synthetic diamonds produced by Element Six are widely used in precision machining, lasers, electronic equipment and bearings. (Compiled from "De Beers takes shine off synthetic diamonds")

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