A cut above: UAE lab-grown diamond trade doubles as Dubai launches new hub

Dubai Multi Commodities Centre has unveiled a new platform designed to foster the growth of the lab-grown diamond industry in the United Arab Emirates. The UAE's lab-grown diamond trade witnessed a remarkable surge in 2025, with traded volumes skyrocketing to 76.9 million carats, a staggering 91.5 per cent increase compared to the previous year.

This surge in trade resulted in a 7.5 per cent rise in the sector's value, reaching $1.3 billion. The numbers mark a significant jump from 36.8 million carats traded in 2022, highlighting the industry's rapid expansion.

DMCC, the organization behind the launch, has created a dedicated vertical specifically for lab-grown diamonds. This move underscores the sector's distinctive economic characteristics, propelled by scalable manufacturing, advanced technology, and burgeoning industrial demand. Ahmed bin Sulayem, DMCC's executive chairman and chief executive, emphasized the need for dedicated market infrastructure and a unique economic case for lab-grown diamonds, which are now gaining prominence alongside their natural counterparts.

Dubai aims to establish itself as a global hub for the lab-grown diamond sector, facilitating connections between producers, manufacturers, traders, investors, finance providers, technology companies, and industrial users. Key players in the industry's expansion include China, India, and the US. China leads in industrial-scale production and research, India boasts significant manufacturing and processing capabilities, while the US remains a paramount technology and consumer market.

The versatility of lab-grown diamonds extends beyond the realm of jewellery. Their exceptional thermal, optical, and semiconductor properties are driving demand for industrial applications. Potential uses include semiconductors, diamond wafers, quantum technology, aerospace components, and precision engineering. DMCC has been actively expanding its footprint in the sector, hosting lab-grown diamond symposia in recent years, with plans for another symposium in 2027.

The UAE's total diamond trade reached a record-breaking $41.7 billion in 2025, reflecting the nation's growing prominence in the global diamond market.