DIAMINDX Index Hits All-Time Low

In August 2026, the DIAMINDX index compiled by diamond investment platform Diamond Standard closed at $2,490, hitting its lowest level since inception. The index fell nearly 8% in just ten trading days, and since peaking in 2022, natural diamond prices have declined for four consecutive years with a cumulative drop of nearly 50%. This data signifies that the price mythology of natural diamonds is rapidly unraveling.

De Beers, the world largest diamond producer, reported in its 2026 first-half financial results that the comprehensive average price of rough diamonds fell 32% year-on-year to $105 per carat. Although first-half sales volume increased 13% to 12.4 million carats, the impact of price declines far exceeded the contribution of volume growth. More concerning, De Beers rough diamond inventory value exceeded $2 billion as of the end of the first half.

Consumer-Side Differentiation and Reshaping

The plunge in natural diamond prices is not caused by a single factor but by the combined forces of oversupply, lab-grown diamond substitution, and shifting consumer attitudes. Data from domestic jewelry wholesale markets like Shuibei in Shenzhen shows that wholesale prices for natural loose diamonds of equivalent grade have generally fallen 40-60% from their 2022 peaks. In this price environment, jewelry retail display strategies and packaging approaches also need to adapt accordingly.

For jewelry retailers, diamond products require jewelry display props that convey a different sense of value compared to gold products. The value of diamonds lies in their optical performance, so jewelry display stand design needs to focus more on lighting angles and background contrast. As natural diamond prices decline, consumers have new requirements for accompanying jewelry boxes for diamond pieces.

Rise of Lab-Grown Diamonds and Packaging Differentiation

While natural diamond prices continue to fall, lab-grown diamonds are steadily expanding their market share. Gen Z and Millennial consumers increasingly prioritize ethical sourcing and personalized customization, and lab-grown diamonds have become indistinguishable from natural ones in appearance and brilliance. This consumer shift poses a new challenge for the jewelry packaging industry: how to differentiate the positioning of natural and lab-grown diamonds through jewelry box design?

Some brands choose to label diamond origin information on jewelry pouches and jewelry boxes, building consumer trust through transparency. Others reinforce product positioning through differentiated jewelry packaging design.

Industry Outlook: New Balance After Price Bottom

Although natural diamond prices continue to decline, the industry is not without hope. Supply-side contraction has begun, with the natural diamond industry undergoing four years of production controls. De Beers has repeatedly lowered sight prices, even breaking the decades-old box pricing convention. While these measures have intensified price pressure in the short term, they help digest inventory and rebuild supply-demand balance in the long run.

For jewelry packaging suppliers, the diamond market adjustment period is precisely the time to deepen product capabilities. When price is no longer the only competitive dimension, brand experience, unboxing rituals, and packaging design will become new differentiators.

This article is originally published by Shengyixiang (zbpack.com), with 21 years of expertise in jewelry boxes, watch display, jewelry display props, and jewelry packaging production and design.