Lab-grown diamond prices are expected to continue their decline, potentially dropping by an additional 80%, according to industry expert Cormac Kinney.
Since lab-grown diamonds became more widely available in 2018, the price gap between them and natural diamonds has been growing. In some cases, lab-grown diamonds are now priced at just 10% of their natural counterparts.
Kinney, the CEO of Diamond Standard, a commodities trading firm, believes there is still significant room for price reduction. He estimates that prices could fall by an additional 50% to 80%.
Currently, lab-grown diamonds make up approximately 20% of the total diamond market. Retailers like Walmart and Pandora are offering them at increasingly competitive prices.
Despite their growing popularity, Kinney suggests that interest in lab-grown diamonds may be declining due to their perceived lack of value. He notes that some couples are replacing synthetic stones with smaller, natural diamonds within just a few years of marriage, according to feedback from jewelers.
