Lab-Grown Diamond Market Size, Share, Growth, and Industry Analysis, By Types (Rough, Polished), By Applications Covered (Online, Special Store, Supermarket, Others), Regional Insights and Forecast to 2033

Lab-Grown Diamond Market Size

The global Lab-Grown Diamond market was valued at USD 25,554.77 million in 2024 and is projected to reach USD 27,744.82 million by 2025, expanding significantly to USD 53,562.47 million by 2033. This growth indicates a strong CAGR of 8.57% during the forecast period from 2025 to 2033, driven by increasing consumer preference for sustainable and ethically sourced jewelry, advancements in diamond synthesis technology, and rising adoption across both industrial and luxury segments.

The U.S. Lab-Grown Diamond market is growing rapidly, fueled by rising demand for sustainable and affordable alternatives to mined diamonds, increasing consumer awareness, and expanding use in both fine jewelry and industrial applications.

Key Findings

• Market Size: Valued at 27744.82M in 2025, expected to reach 53562.47M by 2033, growing at a CAGR of 8.57%.
• Growth Drivers: 41% sustainable purchase preference, 38% bridal demand growth, 36% millennial adoption, 29% affordability advantage, 24% ethical sourcing demand rise.
• Trends: 48% rise in online jewelry sales, 39% growth in colored stones, 35% AI-based custom design tools, 28% resale platforms expansion.
• Key Players: Element Six, De Beers, Takara Diamonds, WD Lab Grown Diamonds, Scio Diamond Technology Corporation
• Regional Insights: 36% North America, 30% Asia-Pacific, 25% Europe, 9% MEA, 78% global production from Asia, 66% retail demand from U.S. and EU.
• Challenges: 35% pricing pressure, 28% resale value concern, 21% consumer trust gap, 19% overproduction risks, 14% standardization limitations.
• Industry Impact: 39% shift in bridal preferences, 33% retail strategy transformation, 30% new luxury branding trends, 25% boost in ethical fashion market.
• Recent Developments: 33% new colored SKUs, 28% AI integration in cutting, 24% carbon-neutral launches, 21% precision medical use, 18% electronics-grade upgrades.

The global lab-grown diamond market is experiencing rapid growth due to shifting consumer preferences, sustainability concerns, and pricing benefits over mined diamonds. Lab-grown diamonds are chemically, physically, and optically identical to natural diamonds, making them highly desirable in both jewelry and industrial applications. With major retailers and luxury brands adopting lab-grown alternatives, the market is expanding across North America, Europe, and Asia. In 2025, the market is valued at USD 11,523.5 million and is projected to reach USD 28,620.4 million by 2033, driven by eco-conscious consumers and advanced manufacturing technologies like HPHT and CVD.

Lab-Grown Diamond Market Trends

The lab-grown diamond market is undergoing transformative change, driven by ethical sourcing, evolving consumer behavior, and rising adoption across fashion and industrial sectors. Jewelry remains the largest application, with 68% of global lab-grown diamonds used in engagement rings, earrings, and necklaces in 2023. Major jewelry brands reported a 42% increase in lab-grown diamond sales compared to mined diamonds due to price and sustainability factors. North American retailers noted that 36% of Gen Z consumers preferred lab-grown over natural diamonds for ethical reasons.

In the fashion jewelry space, demand grew by 31% in 2023, driven by millennial buyers seeking affordable luxury. Colorless diamonds remain most popular, but colored lab-grown variants like pink, blue, and yellow saw 26% year-over-year growth due to customization trends. Asia-Pacific is emerging as a high-volume production hub, especially in China and India, which together manufactured over 75% of lab-grown diamonds in 2023. Online sales channels saw a 48% increase in lab-grown diamond transactions, with AI-powered virtual try-ons enhancing digital consumer engagement.

Industrial use of lab-grown diamonds also witnessed a 23% rise, particularly in sectors like electronics, semiconductors, and machining tools. HPHT diamonds are preferred in thermal conductivity and high-pressure drilling applications, while CVD diamonds are being adopted in optics, sensors, and precision equipment. Retailers are emphasizing traceability, with blockchain-based tracking implemented in 18% of premium lab-grown diamond offerings. Global influencers and sustainability advocates continue to boost visibility, driving lab-grown diamond market momentum.

Lab-Grown Diamond Market Dynamics

The lab-grown diamond market is shaped by the convergence of technology, transparency, and sustainability. Unlike natural diamonds, lab-grown variants offer predictable quality, shorter lead times, and traceable sourcing. Consumers increasingly associate lab-grown diamonds with innovation and ethical consumption. Major e-commerce platforms and traditional retailers are investing in exclusive lab-grown diamond product lines. Technological advances in high-pressure high-temperature (HPHT) and chemical vapor deposition (CVD) processes are enhancing quality, clarity, and customization, making lab-grown diamonds more competitive. With celebrity endorsements and influencer-driven marketing, lab-grown diamonds are reshaping the future of modern luxury and precision tools.

OPPORTUNITY

Expanding Industrial Applications and Smart Manufacturing

Lab-grown diamonds are finding increasing applications beyond jewelry, presenting growth opportunities across high-tech sectors. In 2023, 33% of lab-grown diamonds were used in electronics and industrial processes. High-purity CVD diamonds saw 24% growth in usage for semiconductors, laser optics, and quantum sensors. The rise of precision manufacturing, medical tools, and high-performance wear components is generating demand for synthetic diamonds with controlled morphology. Government support for clean manufacturing and R&D into diamond-based transistors is accelerating product innovation. Emerging markets like South Korea, Japan, and Israel are investing in lab-grown diamonds for defense and aerospace R&D, fueling future industrial growth.

DRIVERS

Rise in Ethical Consumerism and Cost-Efficiency

The growing demand for sustainable, ethically sourced, and affordable luxury is a key driver of the lab-grown diamond market. In 2023, 41% of urban consumers chose lab-grown diamonds over mined ones due to environmental concerns. The price advantage—up to 40% lower than natural diamonds—has fueled a 38% spike in first-time diamond buyers, especially in the bridal segment. Jewelry retailers in the U.S. and Europe report that 44% of customers below age 35 now actively inquire about lab-grown options. Eco-conscious branding and carbon-neutral production techniques have also driven a 29% increase in loyalty among sustainability-minded shoppers.

RESTRAINT

"Consumer Skepticism and Brand Perception Challenges"

Despite growing popularity, lab-grown diamonds face resistance due to entrenched perceptions about authenticity and long-term value. In 2023, 28% of luxury buyers expressed concerns about resale value and investment potential of synthetic diamonds. Traditional jewelers in Europe and the Middle East cited 19% decline in natural diamond sales attributed to consumer confusion between lab-grown and natural stones. Lack of industry-wide grading standards led to 21% of customers reporting inconsistency in quality and clarity of lab-grown diamonds. Educating consumers about the technological and ethical benefits remains a critical need to overcome purchasing hesitation.

CHALLENGE

"Intense Competition and Price Pressure"

The lab-grown diamond market is highly competitive, with price wars impacting profit margins and long-term sustainability. In 2023, 35% of producers reduced prices due to oversupply from Chinese and Indian manufacturers. Rapid capacity expansion has resulted in 22% drop in average per-carat prices over two years. Retailers reported margin compression in 31% of lab-grown SKUs despite increased sales volume. Brands are struggling to differentiate as product uniformity and online price comparisons increase transparency. Manufacturers must invest in branding, storytelling, and unique design innovations to create value in a saturated and commoditized market landscape.

Segmentation Analysis

The lab-grown diamond market is segmented based on type and application, reflecting the industry's supply chain structure and changing consumer purchasing behavior. By type, the market is categorized into Rough and Polished lab-grown diamonds. Rough diamonds are mainly used by manufacturers and designers for cutting and customization, while polished diamonds are ready-to-wear stones, commonly used in the retail and jewelry sectors. By application, lab-grown diamonds are distributed across Online Channels, Specialty Stores, Supermarkets, and Other Outlets, each offering unique engagement models and pricing flexibility for end-users.

By Type

• Rough Lab-Grown Diamonds: Rough lab-grown diamonds accounted for 41% of the market share in 2023, primarily serving the manufacturing and design industry. These uncut diamonds are bought by wholesalers, jewelry manufacturers, and gem cutters for further processing. India and China led the production, with over 70% of the global rough lab-grown diamond output. Jewelry brands reported 33% usage of rough diamonds for customized, in-house cutting to reduce dependence on third-party suppliers. The high clarity and consistent quality of CVD-grown rough diamonds are boosting adoption in premium jewelry and industrial tooling applications.
• Polished Lab-Grown Diamonds: Polished diamonds dominate the end-user segment, contributing to 59% of lab-grown diamond sales in 2023. These diamonds are ready for immediate sale and are widely available across online platforms and jewelry stores. U.S. and European markets showed strong demand, with 46% of bridal and fashion diamond jewelry now using polished lab-grown stones. Colored and fancy-cut polished diamonds gained 24% in popularity among millennials due to personalization trends. Retailers offer certification and grading reports with polished stones, increasing consumer trust and enhancing value perception at the point of sale.

By Application

• Online: Online retail is the fastest-growing channel, accounting for 38% of lab-grown diamond sales globally in 2023. E-commerce platforms like Blue Nile, Brilliant Earth, and niche D2C brands leverage AI, AR, and digital try-on tech to enhance user experience. Online consumers benefit from price transparency, broad selection, and certification details, leading to 43% repeat purchase rates. This segment is particularly popular among Gen Z and millennials, with 49% of online buyers preferring lab-grown options for ethical and cost reasons. Cross-border online sales saw 21% year-over-year growth, led by U.S., India, and Canada.
• Specialty Stores: Specialty stores held 34% of the market share in 2023, offering in-person experiences with customization services and certified collections. Brands like Pandora and De Beers Lightbox have dedicated retail counters for lab-grown offerings. Consumers value physical evaluation, in-store expertise, and luxury ambiance, leading to 29% higher average order values. Specialty stores also reported 35% growth in lab-grown bridal sets and anniversary gifts. Retailers are integrating AR mirrors and digital catalogs to bridge online-offline experiences and drive foot traffic.
• Supermarkets: Supermarkets and department stores contributed to 15% of global lab-grown diamond purchases, especially in seasonal and discount-driven segments. Large retailers like Costco and Walmart introduced limited lab-grown jewelry ranges, recording 18% year-over-year sales growth. These outlets offer accessibility and affordability, targeting budget-conscious and impulse buyers. Lab-grown diamond earrings and pendants were among the top-selling SKUs, with 23% uptake during holidays and gifting seasons.
• Others: The "Others" segment, including exhibitions, pop-up stores, and direct home appointments, made up 13% of total sales in 2023. Jewelry expos, wedding fairs, and influencer-led events accounted for 20% growth in boutique lab-grown diamond brands. Bespoke services and personalized designs drew attention in niche luxury markets, especially in South Korea, UAE, and Italy. Direct selling models with gem consultants offering home trials are gaining popularity among premium clients seeking privacy and one-on-one attention.

Regional Outlook

The lab-grown diamond market exhibits strong regional variations driven by differences in consumer behavior, technological expertise, production capabilities, and brand positioning. North America dominates in consumer demand, while Asia-Pacific leads in manufacturing. Europe is experiencing growing acceptance due to ethical sourcing, and the Middle East & Africa is gradually gaining momentum through luxury retail expansion. Across all regions, the shift toward sustainability, digital jewelry sales, and cost-effective luxury is driving strong interest in lab-grown diamond alternatives to mined stones.

North America

North America held 36% of the global lab-grown diamond market share in 2023. The U.S. accounted for more than 85% of regional demand, driven by high acceptance of sustainable luxury and rapid online jewelry sales. Retailers like Brilliant Earth and Pandora reported 42% year-over-year growth in lab-grown diamond transactions. Gen Z and millennial consumers represented 51% of total regional purchases. Polished diamond demand surged during the bridal season, with 47% of engagement rings sold featuring lab-grown stones. Canada saw 18% growth, particularly in metro areas like Toronto and Vancouver due to awareness campaigns around ethical sourcing.

Europe

Europe contributed 25% of global lab-grown diamond sales in 2023, with growing preference for traceable, eco-friendly alternatives to mined diamonds. Germany, the U.K., and France collectively made up 66% of regional demand. Retailers reported 34% increase in premium lab-grown offerings, supported by government-backed sustainability certifications. Colored and customized diamonds gained popularity among younger European buyers, with 27% of online jewelry purchases involving lab-grown variants. Nordic countries also showed increased adoption, led by 19% growth in bridal and gifting segments. Luxury retailers in Italy and Switzerland began offering limited-edition lab-grown collections targeting high-income eco-conscious consumers.

Asia-Pacific

Asia-Pacific led the global market in production and accounted for 30% of total lab-grown diamond consumption in 2023. China and India produced over 78% of global rough lab-grown diamonds. India’s Surat region alone handled cutting and polishing for 60% of lab-grown diamonds exported globally. Japan, South Korea, and Australia witnessed 24% growth in retail sales of lab-grown diamond jewelry. Brands across Asia reported 39% increase in demand from middle-class consumers driven by price sensitivity and ethical considerations. Online platforms and virtual fittings are boosting sales in urban hubs across Tokyo, Seoul, and Mumbai.

Middle East & Africa

The Middle East & Africa accounted for 9% of global lab-grown diamond revenue in 2023. UAE and Saudi Arabia made up 72% of regional demand, primarily through luxury retail stores in Dubai and Riyadh. Retailers observed 22% increase in demand for lab-grown diamonds during festive seasons and wedding campaigns. Lab-grown engagement rings saw 19% adoption among affluent young professionals. South Africa, a traditional diamond hub, is witnessing early adoption in urban areas, with 16% annual growth in awareness. The region’s tourism and gifting industry is also fueling premium diamond purchases at duty-free and airport jewelry stores.

List of Key Lab-Grown Diamond Market Companies Profiled

Investment Analysis and Opportunities

The lab-grown diamond market is attracting significant investment due to rising consumer demand, scalability of manufacturing, and alignment with ESG goals. In 2023, more than $690 million was invested globally into production facility upgrades, R&D in color enhancement, and expansion of retail networks. China and India collectively received 43% of manufacturing-focused investments aimed at expanding HPHT and CVD capacity. Startups and D2C jewelry brands across the U.S. raised over $120 million in venture funding for e-commerce development and sustainable packaging.

Luxury groups in Europe partnered with lab-grown manufacturers for exclusive collections, reporting 28% higher ROI on eco-luxury products. Investors are targeting AI-based grading platforms and blockchain authentication tools to increase transparency and buyer confidence. Governments in Japan and South Korea provided R&D subsidies for diamond-based semiconductor research. Strategic collaborations between mining companies and lab-grown firms indicate future hybrid product launches. The market holds vast potential in medical devices, optics, and electronic applications, especially for ultra-pure diamonds used in lasers, biosensors, and quantum computing.

New Products Development

New product development in the lab-grown diamond market is centered on customization, innovation in clarity and cut, and advanced industrial applications. In 2023, De Beers launched new colored lab-grown diamond lines under Lightbox Jewelry, gaining 33% share in fashion jewelry. Element Six introduced industrial-grade diamonds with thermal conductivity enhancements, supporting 27% growth in the electronics sector.

D. Nea Diamonds released a bridal-focused customizable ring platform with AI-powered design tools, which accounted for 21% of its Q4 sales. Scio Diamond unveiled medical-grade synthetic diamonds for surgical tools and implants, resulting in 19% expansion in healthcare demand. Kiran Gems and WD Lab Grown Diamonds rolled out certified eco-friendly collections featuring blockchain-based origin verification. New developments also include lab-grown diamond composites for watchmaking and limited-edition gemstone mixes appealing to collectors and niche buyers.

Recent Developments

• In 2023, Element Six opened a new CVD diamond production unit in Singapore with 2x capacity, serving electronics and jewelry.
• In 2023, WD Lab Grown Diamonds launched premium stones with carbon-neutral certification, adopted by 26% of new-age jewelry retailers.
• In 2024, De Beers introduced blue and pink lab-grown collections at major global fashion expos, driving 31% influencer engagement.
• In 2024, Takara Diamonds integrated AI-based cutting precision tools in their polishing centers, reducing waste by 18%.
• In 2024, Sandvik AB began trial production of industrial lab-grown diamonds for use in thermal drilling and 5G communication modules.

Report Coverage

This report provides comprehensive analysis of the global lab-grown diamond market, covering production technology, market segmentation, key players, regional breakdown, and growth opportunities. It features detailed segmentation by type (Rough, Polished) and application (Online, Special Store, Supermarket, Others), reflecting demand patterns across consumer and industrial uses.

The report profiles leading companies including Element Six, De Beers, Takara Diamonds, and Scio Diamond, with insights into product launches, R&D focus, and market penetration strategies. The study includes facts and figures for 2023–2024, tracking investment flows, manufacturing expansions, and new product developments across North America, Europe, Asia-Pacific, and MEA. It also highlights industrial and retail use cases, including electronics, fashion jewelry, medical devices, and semiconductors. Designed for investors, retailers, and manufacturers, this report equips stakeholders with actionable insights to capitalize on the rapidly growing demand for ethical and high-performance lab-grown diamonds.