Key points
- This Gems and Jewellery News report comes as Anglo American, De Beers’ parent company, continues its move to offload the diamond business, raising questions about the future of one of the most iconic names in luxury.
- A “Farewell Sale” on its website, offering discounts of up to 85 percent with only a handful of styles remaining, all but confirms the end of De Beers’ lab-grown chapter.
- De Beers Group has reported a staggering $189 million loss in the first half of 2025, sending ripples through the global diamond market.
Gems and Jewellery News: A Difficult First Half for The Diamond Giant
De Beers Group has reported a staggering $189 million loss in the first half of 2025, sending ripples through the global diamond market. The company’s decision to slash rough diamond prices in the second quarter, aimed at clearing inventory amid sluggish demand, has come at a heavy cost. This Gems and Jewellery News report comes as Anglo American, De Beers’ parent company, continues its move to offload the diamond business, raising questions about the future of one of the most iconic names in luxury.
De Beers reported losses for the first half of 2025 has shaken the global Diamond industry
Image Credit: De Beers
The company mined only 10.2 million carats in the first six months of 2025, a steep 23 percent drop from the 13.3 million carats extracted in the same period last year. This reduction was a deliberate pullback, as De Beers adjusted production to reflect falling global appetite for diamonds. The most dramatic declines were seen in Canada, where output plunged 43 percent, while Botswana registered a 26 percent fall. Namibia and South Africa saw steadier numbers, with Venetia Mine in South Africa preparing to expand underground operations to boost long-term output.
Revenue And Pricing Pressure
First-half revenues fell to $1.95 billion, down 13 percent from the $2.25 billion achieved in the first half of 2024. Average realized prices per carat slipped from $164 to $155, a reflection of not just weaker demand but also De Beers’ stock rebalancing strategy. In practice, this meant selling older assortments at thinner margins to move goods that had become overpriced compared to current market realities.
The result was grim: an EBITDA loss of $189 million compared with a $300 million profit in the same period of 2024. Compounding the problem, last year’s financials had been buoyed by a one-time gain from selling iron ore royalty rights in Australia, making this year’s performance look even weaker by comparison.
Market Conditions and Global Uncertainty
De Beers acknowledged that overall diamond trading conditions remain “challenged.” A glut of polished diamonds in the midstream has caused many traders and polishers to buy cautiously, while retailers are wary of overcommitting amid economic volatility. A brief recovery in polished diamond prices during the first quarter of 2025 was quickly derailed in the second quarter after President Donald Trump’s tariff announcement reignited uncertainty.
Yet consumer demand for diamond jewelry has held broadly steady. In the United States, sales have not declined significantly, though the full impact of tariffs remains to be seen. India has emerged as a bright spot, with double-digit growth, while the decline in China is slowing. Japan and Gulf nations continue to show strong appetite, providing some comfort to the embattled miner.
Despite the reports, Diamond sales are still strong in certain markets such as India, Middle-East, Japan and parts of South-East Asia
Image Credit: De Beers
Strategic Moves and Retail Expansion
Despite financial turbulence, De Beers has pressed ahead with its retail ambitions. Its rebranded chain, De Beers London, opened a flagship store in Dubai Mall in partnership with luxury retailer Chalhoub Group in April. A Paris flagship is also in the works, signaling the company’s focus on anchoring its retail presence in key luxury capitals.
Forevermark, De Beers’ jewelry brand that is now repositioning itself for the Indian market, has announced plans for four new stores in Mumbai and Delhi. Meanwhile, the global phase-out of its legacy operations continues as the brand pivots fully toward finished jewelry rather than loose stones.
The End of Lightbox
Conspicuously absent from De Beers’ official half-year report was its lab-grown diamond brand, Lightbox. Launched in 2018 as an experiment to regulate synthetic diamond pricing and create differentiation from natural stones, the venture now appears to be winding down. A “Farewell Sale” on its website, offering discounts of up to 85 percent with only a handful of styles remaining, all but confirms the end of De Beers’ lab-grown chapter. Prices ranged from as little as $70 to just over $1,000, marking a symbolic close to a controversial experiment that divided the industry.
What This Means for The Diamond Market
The first half of 2025 underscores the difficulties facing the diamond sector. Oversupply, shifting consumer patterns, geopolitical uncertainty, and the growing presence of lab-grown diamonds are creating unprecedented challenges for miners and retailers alike. For De Beers, the struggle is not merely financial but reputational, as it attempts to redefine itself in a rapidly evolving market.
As the year progresses, the company’s ability to stabilize pricing, streamline production, and strengthen retail channels will be crucial. Much also depends on how tariffs and global economic trends shape consumer sentiment in the months ahead. While India, Japan, and the Gulf show promise, other regions are more unpredictable.
The larger question remains whether De Beers can retain its iconic status in an era where both natural and lab-grown diamonds face new scrutiny. Its decision to cut production sharply suggests a willingness to prioritize stability over volume, yet the financial pain of such measures is already evident. If the second half of the year fails to bring stronger demand and firmer prices, the losses could deepen further, reshaping the power dynamics of the global diamond trade. For now, the diamond world watches closely as the giant recalibrates under immense pressure.
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