The diamond industry in July 2025 is facing continued pricing pressure, especially in the mid-range segments. According to Rapaport’s updated pricing data, the biggest declines were recorded in diamonds ranging between 0.40 to 0.69 carats, particularly those with lower clarity grades and warmer colors. Here's a breakdown of the data and what it means for buyers and sellers.
Latest Rapaport-Based Diamond Price Drops
The table below summarises key market movements across major size and quality ranges:
Source
Key Trends Observed
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Mid-Range Stones Hit Hardest
The 0.50–0.69 ct range saw the steepest average price drop at −8.00%, mainly for SI1 to SI3 clarity and J to K color grades. These stones typically appeal to budget-conscious buyers, but are now struggling due to:
- Strong lab-grown alternatives in this price band
- Retailers clearing older stock
- Decreased demand from U.S. buyers impacted by inflation and import tariffs
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Clarity Levels Matter
Stones with lower clarity grades (SI1 to I1) experienced more severe declines across the board. For example:
- 0.40–0.49 ct diamonds with SI1 to I1 clarity dropped by −7.00%
- 0.00–1.49 ct stones with SI1 to SI3 clarity also fell by −6.50%
Higher-clarity diamonds (IF to VVS2), though still down, held up better with a smaller −6.00% average drop in the 0.90–0.99 ct category.
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Color Grades Also Affected
Warmer diamonds (H to M colours) are declining faster than their colorless counterparts (D–F):
- Stones from I to M in the 0.70–0.89 ct range fell by −5.00%
- J to K color stones in the 0.50–0.69 ct category dropped by −8.00%
Consumers are more selective now, favouring higher colour grades or turning to alternatives like moissanite and lab-grown diamonds.
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Tariffs Are Adding Pressure
New U.S. tariffs on polished diamonds—especially those processed in India and China—are pushing import costs higher.
Retailers, unable to fully pass these costs onto consumers, are discounting stock aggressively.
This affects mid- and lower-tier stones the most, contributing to the steep RAPI™ declines.
What It Means for Buyers
Now is a favourable time to buy if you're shopping for:
- Natural diamonds under 1.00 ct
- Lower clarity stones for fashion or daily wear
- Heavily discounted certified inventory
Look for certified stones (GIA/IGI) and compare across online platforms before making a purchase.
What It Means for Sellers
Jewellers and dealers should:
- Bundle lower clarity stones with premium settings or halo designs
- Focus on storytelling (e.g., sustainable sourcing, craftsmanship) to justify price
- Reassess inventory in the 0.40–0.69 ct range where price drops are most severe
- Offer flexible financing or upgrade programs to move stock
Conclusion
July 2025 reveals a market correction across several key diamond segments.
Lower clarity and warmer colour stones are facing sharper declines, especially in the 0.40–0.69 ct range.
Tariffs and economic slowdown in major buying markets like the U.S. are playing a critical role.
For consumers, it's an ideal moment to explore value buys.
For sellers, strategy and positioning are essential to navigate this evolving landscape.
- Track pricing trends through reliable tools like the Diamond Calculator App
- Make data-driven decisions whether you’re buying, selling, or holding inventory.
