Three weeks ago the diamond industry, one of the world’s most conservative and boring, was shocked by news that diamond giant De Beers (which accounts for 30% of global diamond production market share) was forced into a rare 10-15% price cut, taking wholesale diamond prices a stunning 40% lower in the past 2 years. That was the first major price cut since the start of the year and a “historically large reduction”, according to Bloomberg. Unfortunately, it is going from bad to worse for the diamond price setter, which in an attempt to keep demand artificially high has throttled supply, and the FT reported that De Beers has amassed its largest diamond stockpile since the 2008 financial crisis. The company, which dominates the $80 billion diamond jewelry industry, has seen inventory levels hover around $2 billion throughout 2024. The slump in demand has been attributed to weak sales in China, growing competition from lab-grown alternatives, and the lingering impact of the Covid-19 pandemic, which disrupted global marriage rates. “It’s been a bad year for rough diamond sales,” CEO Al Cook said. Click here to read more