China is one of the world’s fastest growing diamond markets though the market in the country is not high end. The other fastest growing market, Dubai, tends to be characterized more by a high end market. This is reported by executives of some of the biggest name in the diamond industry.
China’s rise as one of the newest diamond capitals is due to the increases in its diamond manufacturing and sales. Many large diamond companies from the USA, Belgium and Israel — the traditional diamond capitals of the world — have opened offices, branches and manufacturing plants in China. It seems that all the big names in the diamond industry want to take advantage of the almost exponential growth of the Chinese diamond market.
The rise of the diamond industry in China reflects the rise in other Chinese industry. China already accounts for about six percent of the world’s exports. It has also been the supplier of choice of an increasing number of countries because of its capacity to supply low-cost manufactured goods. Many experts have predicted that China would be within the top five largest economies within the next half decade, eventually overtaking United Kingdom, Italy and France.
As the diamond industry in China emerges, so do the Chinese preferences when it comes to diamond shapes. Because of the presence of a lower end diamond market in China, shape preferences tend toward the most basic. As such, the round and the princess (square) cut tend to enjoy tremendous popularity. Another reason why the Chinese favor these two shapes is the fact that these two shapes tend to fully display the beauty of diamonds more than any other shapes. Unlike other markets that value style and flair, the Chinese market – as far as diamonds are concerned – tends to favor basic elegance.
Of course, the Chinese preference on diamond shape may change as the country’s economy grows bigger.
It will definitely be interesting to watch the changes in China’s diamond market in the next several years, as China becomes a major player in the world’s economy.
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June 25th, 2011 at 12:25 pm
While I agree with the points in China and Diamonds , I think the positive sentiment around at the moment is a result of a politically engineered set of circumstances. The demand for consumer loans is still poor and there is no improvement in the housing market. The developed nations are surviving on their politicians ability to just borrow and spend into their countries which is difficult to maintain. Regards, Mi Yeatts.
November 29th, 2011 at 4:14 pm
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