Lab diamonds shift the market?
Why Lab-Grown Diamonds Are Overtaking the Market (2022–2026)
Executive summary: since 2022 the diamond industry has shifted. Falling prices for many natural diamonds and a rapid scale-up in lab-grown production have driven a major realignment in supply and demand. Below are the facts and what they mean for buyers in 2025.
Fast facts
- Natural diamond prices have seen double-digit declines in multiple categories between 2022 and 2025.
- Mass production of lab-grown diamonds—led by significant Chinese capacity—has expanded supply and pushed prices down for lab-grown product.
- Consumer acceptance (especially younger cohorts) and retailer adoption have boosted lab-grown demand.
What happened 2022→2025
After the market peak in early 2022, global demand softened and inventories rose. At the same time, lab-grown producers scaled up; the combined effect put natural prices under pressure and made lab-grown the more attractive value proposition for many buyers.
Market evidence
Industry reporting and market research in 2024–2025 show rapid growth projections for the lab-grown segment and continued weakness in certain natural-diamond indices. Several reports estimate strong CAGR for lab-grown diamonds in the coming years, while conventional diamond indices remain volatile.
Why buyers choose lab-grown
- Better price for the same look: identical visual and chemical properties at a fraction of the price.
- Traceability & ethics: consumers can often confirm origin and environmental footprint.
- Design freedom: more carats or bolder designs for the same budget.
Bottom line for buyers in 2026
If your objective is investment return, the data do not support treating most natural diamonds as a reliable financial asset. If your objective is beauty, value and lower downside risk, lab-grown diamonds are the rational choice today.
Explore Lab-Grown Diamonds
FAQ
- Are lab-grown diamonds "real" diamonds? Yes — they are chemically and structurally the same as mined diamonds.
- Will natural diamond prices recover? Recovery depends on demand, inventory management by producers, and shifts in consumer preference; the market remains uncertain.
Disclaimer
⚠️ This article is for informational purposes only and does not constitute financial or investment advice. Data and market outlooks are based on public reporting up to October 2025 and may change.