In a press release sent on Saturday, January 19, we announced the Annual trade figures of the Antwerp Diamond Industry. The numbers confirm what we have all felt: the diamond industry is facing a severe global crisis. Geopolitical tensions, weak consumer markets, and competition from synthetics have led to historically low demand and prices. Antwerp, as one of the world's leading diamond trading hubs, has been hit particularly hard.
The impact of the G7 ban on Russian diamonds, in effect since January 1, 2024, is undeniable. Before the war in Ukraine, over a third of all rough diamonds imported to Antwerp came from Russia. With these goods now absent, Antwerp's total rough diamond imports dropped by 35% in 2024. Overall, trade figures for the year declined by 25% compared to 2023, falling from $32.5 billion to $24.4 billion.
"The industry is caught in a perfect storm," says Karen Rentmeesters, CEO of AWDC. "Sanctions, economic slowdown, and changing market dynamics are all contributing to the downturn. Antwerp is feeling the consequences, and without the right support, the effects could be long-lasting."
Despite these challenges, we remain optimistic about the future. The diamond industry is undergoing a transformation, embracing sustainability and innovation. However, this transition requires support from both the sector and the Belgian government. "Standing still means falling behind," Rentmeesters emphasizes. "We must ensure Antwerp remains competitive on the global stage."
One of the biggest hurdles is Belgium’s business climate. International diamond companies are interested in relocating to Antwerp, but they face major obstacles. Banks are denying access to financial services, obtaining work visas is difficult, and unclear regulations at Diamond Office lead to shipment delays and fines.
With 3,500 people directly employed in the diamond industry and countless others benefiting from its economic impact, the sector remains vital to Belgium. "A government that supports the sector and welcomes entrepreneurs can help reverse this negative trend. Under such a policy, we are ready to do our part to turn things around," Rentmeesters concludes.
