Global CVD Lab-grown Diamonds Market Insights Forecasts to 2032

• The CVD Lab-grown Diamonds Market Size was valued at USD 12.2 Billion in 2022.
• The Market Size is Growing at a CAGR of 7.1% from 2022 to 2032
• The Worldwide CVD Lab-grown Diamonds Market Size is expected to reach USD 23.4 Billion by 2032
• Asia Pacific is expected To Grow the fastest during the forecast period

The Global CVD Lab-grown Diamonds Market Size is expected to reach USD 23.4 Billion by 2032, at a CAGR of 7.1% during the forecast period 2022 to 2032.

CVD Lab-grown diamonds are diamonds that are developed in a laboratory as opposed to being mined from the earth. They are also referred to as synthetic diamonds or cultured diamonds. These diamonds are identical to natural diamonds in terms of their chemical make-up, crystal structure, and visual characteristics. They are produced utilizing cutting-edge technological procedures that replicate the circumstances in which diamonds naturally form. The 4Cs—carat weight, color, clarity, and cut—are the physical and chemical characteristics that distinguish real diamonds from lab-grown ones. Lab-grown diamonds, on the other hand, can contain less imperfections and impurities due to their regulated growth environment, making them more aesthetically pleasing. The possibility for lab-grown diamonds to be more morally and environmentally responsible than those obtained through traditional mining is one of their key advantages. They don't involve the social and environmental problems that diamond mining is frequently linked to, like labor exploitation and environmental harm.

Impact of COVID 19 On Global CVD Lab Grown Diamonds Market

The pandemic significantly disrupted global supply chains, having an impact on a number of businesses, including the diamond industry. The manufacturing, shipping, and distribution of CVD lab-grown diamonds may be delayed as a result of this disturbance. During the epidemic, lockdowns, uncertain economic conditions, and shifting priorities all had an impact on consumer buying habits. Although the demand for luxury items like diamonds may have declined, the emphasis on sustainability and ethical decisions may have given lab-grown diamonds a boost because they are frequently seen as the more responsible option. People were spending more time online during the pandemic, which would have increased exposure to material regarding lab-grown diamonds. The market may have benefited from this increased awareness as consumers sought information and carefully analyzed their alternatives. Like many other industries, businesses in the lab-grown diamond sector would have had to change how they operated in order to protect staff members and adhere to health regulations. These modifications might have had an effect on the performance of the entire industry and production efficiency.

Key Market Drivers

Consumers were growing more aware of the moral and environmental consequences of conventional diamond mining. The desire for lab-grown diamonds was sparked by consumers who were concerned about the environment and were looking for a more moral and sustainable alternative. Natural diamonds of equivalent quality often cost more than lab-grown diamonds. Consumers on a tight budget who desired a diamond-like appearance without paying the premium associated with mined diamonds were drawn in by this price advantage. The quality and size of lab-grown diamonds have improved as a result of developments in CVD technology and diamond growing methods. This made these diamonds more desirable for a range of uses, including industrial and jewelry applications. Acceptance of these diamonds increased as more customers learned about lab-grown diamonds and their similarity to real diamonds in terms of appearance and qualities. 

Key Market Challenges

A lot of buyers still had false beliefs about lab-grown diamonds, mistaking them for cubic zirconia or thinking they were of poorer quality. It was a constant struggle to inform people about the ethical and scientific implications of lab-grown diamonds. It was difficult to establish lab-grown diamonds as a distinctive and desirable product category with distinctive attributes because they were frequently presented as alternatives to real diamonds. Even as lab-grown diamonds gained popularity, some traditionalists in the diamond business and customers maintained onto the belief that natural diamonds were more valuable and authentic. Production costs were remained a consideration even if lab-grown diamonds were frequently more economical than natural diamonds. It was a constant struggle to achieve economies of scale that would lower costs and increase profitability. 

Market Segmentation

Type Insights

Colourless segment is dominating the market with the largest market share over the forecast period

On the basis of type, the global CVD Lab Grown Diamonds Market is segmented into Colored and Colorless. Among these, colourless segment is dominating the market with the largest market share over the forecast period. Manufacturers could now create high-quality, colorless lab-grown diamonds that nearly resembled natural diamonds in terms of appearance and purity because to substantial advancements in CVD technology. Engagement rings and other fine jewelry have historically been made using colorless diamonds as the center stone. As consumer awareness of lab-grown diamonds grew, people looking for high-quality diamonds for special occasions began to gravitate toward the colorless category. Diamonds made in a lab might be produced to a customer's exact specifications in terms of quality, cut, and size. Customers looking for distinctive and customized solutions for colorless diamonds were drawn to this versatility. Lab-grown diamonds are slowly becoming accepted by the jewelry industry, and well-known jewelry brands are adding colorless lab-grown diamonds to their product lines. This endorsement increased the legitimacy of lab-grown colorless diamonds.

Regional Insights

North America is dominating the market with the largest market share over the forecast period

Among all other regions, North America is dominating the market with the largest market share over the forecast period. A prominent market for lab-grown diamonds has been North America, particularly the United States. As a result of marketing initiatives, educational initiatives, and media attention, awareness of lab-grown diamonds has increased. Many buyers in North America, who were growing more concerned about the environmental and social impact of mined diamonds, were drawn to the ethical and sustainable qualities of lab-grown diamonds. Online marketplaces have contributed to the increased accessibility of lab-grown diamonds, especially CVD diamonds, to a wider spectrum of consumers in North America due to the region's powerful e-commerce ecosystem. Consumer preferences were changing, and a growing number of people valued the qualities and beauty of lab-grown diamonds while being more cost-conscious. In the lab-grown diamond business, the North American market had a mix of existing players, startups, and new entrants. 

Asia Pacific is witnessing the fastest market growth over the forecast period. The Asia Pacific region was becoming more aware of lab-grown diamonds, notably CVD lab-grown diamonds. The idea of lab-grown diamonds as an alternative to mined diamonds was gaining popularity among consumers. The diamond market is influenced by several cultural and economic elements that are specific to various countries in the Asia Pacific region. For instance, lab-grown diamonds were attracting interest as more cheap alternatives in nations with developing middle classes and expanding populations. The demand for lab-grown diamonds was being impacted by shifting customer preferences, particularly among younger generations. For consumers in the area, customisation, ethical sourcing, and sustainability were all growing in importance. Strong e-commerce traditions in the Asia Pacific region have facilitated the accessibility and availability of lab-grown diamonds on online marketplaces. 

Recent Market Developments

• In January 2022, SP3 Diamond Technologies and MAPAL signed a contract to supply diamond coatings.

List of Key Companies

• De Beers (UK)
• Goldiam (India)
• Adamas One Corp (US)
• Sumitomo Electric Industries Ltd. 
• Bhanderi Lab-grown Diamonds LLP (India)
• Hebei Plasma Diamond Technology Co., Ltd. (China)
• SP3 Diamond Technologies
• Delaware Diamond Knives

Market Segment

This study forecasts revenue at global, regional, and country levels from 2019 to 2032. Spherical Insights has segmented the global CVD Lab-grown Diamonds Market based on the below-mentioned segments:

CVD Lab-grown Diamonds Market, Type Analysis

• Coloured
• Colourless

CVD Lab-grown Diamonds Market, Regional Analysis

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • Uk
  • France
  • Italy
  • Spain
  • Russia
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Rest of Asia Pacific
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Middle East & Africa
  • UAE
  • Saudi Arabia
  • Qatar
  • South Africa
  • Rest of Middle East & Africa