Lab-grown diamonds are not making natural diamonds disappear, but they are changing how engagement rings are priced, marketed and purchased. In The Knot’s study of US couples married during 2025, 61% of those who selected a diamond chose a laboratory-grown stone. Natural diamonds nevertheless retain demand among buyers who value geological rarity, provenance, heritage and higher-end luxury.
The most likely future is therefore not the total replacement of one diamond category by the other. It is a divided market in which laboratory-grown diamonds compete strongly on initial price, center-stone size and customization, while natural diamonds compete on rarity, origin and established luxury-market traditions.
That distinction matters for buyers. Laboratory-grown and natural diamonds are both diamond material, but they differ in origin, supply, price behavior, resale expectations and the stories people attach to them. This guide examines the 2026 market evidence and explains how to decide which option better fits your priorities.
Quick answer:
- Laboratory-grown diamonds are real diamonds produced through CVD or HPHT technology.
- They have essentially the same chemical, physical and optical properties as natural diamonds.
- Laboratory-grown diamonds now represent a major share of the US engagement-ring market.
- Their expanding supply and improving production efficiency have contributed to substantial wholesale-price pressure.
- Natural diamonds remain commercially important, especially in rarity-led and higher-priced categories.
- Neither category should automatically be treated as a guaranteed financial investment.
- The best choice depends on budget, origin preference, size goals, resale expectations and personal meaning.
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The diamond market in numbers
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Are Lab-Grown Diamonds Real Diamonds?
Yes. A laboratory-grown diamond is diamond material created through a controlled technological process instead of natural geological formation.
The Gemological Institute of America explains that laboratory-grown diamonds have essentially the same chemical, physical and optical properties as natural diamonds. Both consist predominantly of carbon arranged in a diamond crystal structure.
Individual diamonds in either category can nevertheless differ in:
- Cut quality.
- Color.
- Clarity.
- Carat weight.
- Polish.
- Symmetry.
- Fluorescence.
- Visible brilliance and light performance.
This means it is inaccurate to say that every laboratory-grown diamond has the same clarity or brilliance as every natural diamond. The material properties are substantially alike, but the quality and appearance of individual stones vary.
How are laboratory-grown diamonds made?
Most gem-quality laboratory-grown diamonds are produced through one of two processes:
- High Pressure High Temperature: HPHT uses high pressure, high temperature, a carbon source and a diamond seed to grow diamond crystal.
- Chemical Vapor Deposition: CVD uses a low-pressure chamber containing carbon-rich gas. Carbon accumulates on diamond seeds in successive layers.
Neither production method is automatically better for jewelry. Buyers should evaluate the finished stone’s cut, appearance, grading information, treatment disclosure and price.
Can buyers tell the difference by eye?
Natural and laboratory-grown diamonds generally cannot be separated reliably through unaided visual inspection. Their different growth histories can be identified using specialized screening and spectroscopic equipment.
For a more detailed explanation, read the Rosec Jewels guide on whether a jeweler can identify a laboratory-grown diamond by eye.
Why Are Laboratory-Grown Diamonds Booming?
The category’s growth is not explained by one factor alone. It reflects a combination of affordability, changing consumer expectations, production scale and improved availability.
More visible size within a defined budget
A laboratory-grown diamond generally costs less than a natural diamond with broadly comparable shape and quality characteristics. That price difference may allow a buyer to select:
- A larger center stone.
- A higher cut specification.
- A more detailed ring setting.
- Additional side stones.
- A custom design.
- A matching wedding band.
Lower price does not mean that a laboratory-grown diamond is fake. It reflects differences in supply, production economics, rarity and market positioning.
Greater online availability
E-commerce has made it easier to compare shape, size, report information and pricing across many laboratory-grown diamonds. Buyers can review more options without relying solely on the limited inventory available in a physical display case.
Changing ideas about luxury
Some buyers define luxury through rarity and natural provenance. Others define it through design, customization, craftsmanship and the ability to select a larger or higher-specification stone without exceeding their budget.
Laboratory-grown diamonds fit the second definition particularly well.
Clearer consumer understanding
As buyers have learned that laboratory-grown diamonds are diamonds rather than simulants such as moissanite or cubic zirconia, resistance to the category has weakened.
Clear labeling remains essential. The US Federal Trade Commission advises sellers to use terms such as “laboratory-grown” or “laboratory-created” immediately with the word diamond so consumers understand that the product is not a mined diamond.
How Much Has Engagement-Ring Demand Shifted?
The shift is most visible in the US bridal market.
The Knot’s 2026 Real Weddings Study reports that 61% of surveyed couples who selected a diamond during 2025 chose a laboratory-grown stone. That was an increase from 52% during 2024.
The same reporting placed the average center-stone size at approximately:
- 2.0 carats for laboratory-grown diamonds.
- 1.6 carats for natural diamonds.
These figures do not mean every engagement-ring buyer prefers laboratory-grown diamonds. They represent one large US wedding dataset. Buying behavior can differ by country, age, income, culture, retailer and jewelry category.
Laboratory-grown adoption may also be higher in engagement rings than in rare-diamond collecting, high jewelry, inherited jewelry or certain luxury-brand categories.
Why Have Laboratory-Grown Diamond Prices Fallen?
Laboratory-grown diamond prices are influenced heavily by manufacturing economics. Unlike natural deposits, production capacity can expand when companies add equipment and improve yield.
Technology has become more efficient
Manufacturers have improved growth cycles, rough-diamond quality, cutting yields and production consistency. Efficiency can reduce the cost of producing each usable stone.
Supply can expand
Laboratory-grown supply is not limited to naturally occurring deposits. When market demand rises, producers can increase capacity over time. Greater supply can place downward pressure on prices.
Competition has increased
More producers, polishers and retailers now participate in the category. Competition can reduce wholesale and retail margins, especially for commonly available specifications.
Price changes differ by size
Industry analyst Edahn Golan reported that laboratory-grown wholesale prices declined by an average of 26% during 2025. However, the quarterly decline slowed to 4.7% in the final quarter, and price movements differed significantly by carat size.
This is an important qualification. Laboratory-grown prices have not moved uniformly, and a past percentage decline does not guarantee the same future result.
Review the Rosec Jewels guide to laboratory-grown diamond prices in 2026 for more detailed buying considerations.
Buyer takeaway: Compare current like-for-like offers rather than relying on an old claim that laboratory-grown diamonds are a fixed percentage cheaper. Match shape, carat weight, cut, color, clarity, report type, treatment, setting and retailer policies.
What Is Happening to the Natural-Diamond Market?
The natural-diamond market is experiencing pressure, but the effects are not uniform across every segment.
De Beers reported that natural-diamond retail demand remained resilient during 2025, particularly in higher-end US categories. Lower-priced and lower-quality portions of the assortment faced greater pressure, while laboratory-grown retail sales continued to affect the market.
De Beers also reported that during 2025:
- Rough-diamond production declined by 12% to 21.7 million carats.
- Its average realized rough price declined by 7%.
- Its average rough-price index declined by 12%.
- A substantial impairment reflected lower price forecasts, changing consumer preferences and surplus rough-diamond availability.
These figures show that the natural-diamond industry is under genuine pressure. They do not show that demand has disappeared.
Lower natural-diamond categories face greater competition
A buyer comparing an ordinary natural diamond with a visually similar laboratory-grown option may focus strongly on the price difference. This creates particular pressure in commercially common engagement-ring specifications.
Rare and higher-end natural diamonds are more differentiated
The natural category becomes more distinct when a stone offers qualities that cannot simply be manufactured at scale, such as:
- Exceptional natural rarity.
- Important provenance.
- Unusual size.
- Rare natural color.
- Historic significance.
- A collectible luxury-brand context.
These segments compete less directly with standardized laboratory-grown diamonds.
Natural-diamond businesses are emphasizing provenance
Natural-diamond marketing increasingly focuses on geological age, rarity, origin, traceability and economic contributions in producing regions.
Buyers should still evaluate those claims individually. Natural origin alone does not automatically establish responsible mining, just as laboratory origin alone does not automatically establish sustainable production.
Laboratory-Grown vs Natural Diamonds: Practical Comparison
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Neither category is automatically superior. They offer different forms of value.
Will Laboratory-Grown Diamonds Replace Natural Diamonds?
Complete replacement appears unlikely. A more realistic outcome is market segmentation.
Laboratory-grown diamonds may dominate value-led bridal purchases
The category is well suited to buyers prioritizing visual size, custom design and initial affordability. Those priorities are especially important in engagement-ring shopping.
Natural diamonds may become more rarity-focused
Natural diamonds may increasingly be positioned around provenance, scarcity, exceptional quality and luxury heritage rather than competing directly on visual size alone.
Both categories can remain commercially meaningful
Jewelry buyers are not a single group. One person may find meaning in a stone formed naturally over immense geological time. Another may prefer to invest more of the budget in craftsmanship, travel, a wedding or financial goals while selecting a laboratory-grown center stone.
The market can support both choices when sellers disclose origin accurately and avoid presenting either category through misleading claims.
Are Laboratory-Grown Diamonds More Sustainable?
Laboratory-grown diamonds avoid direct diamond excavation, which can reduce certain mining-related impacts. That does not make every laboratory-grown diamond automatically carbon-neutral, ethical or environmentally harmless.
Their footprint may depend on:
- The electricity source used by the growth facility.
- The efficiency and age of the equipment.
- The percentage of usable crystal produced.
- Post-growth treatments.
- Cutting and polishing.
- Labor conditions.
- Transportation.
- The metal and accent stones used in the finished piece.
Natural-diamond impacts also vary significantly according to mine type, energy source, water management, rehabilitation, labor standards and supply-chain controls.
The Federal Trade Commission advises businesses to possess reliable support for environmental-benefit claims and to qualify those claims appropriately.
Questions buyers should ask
- Where was the diamond grown or mined?
- What evidence supports the environmental claim?
- Does the claim cover only the rough stone or the entire finished product?
- Was the producer’s electricity source disclosed?
- Were cutting, polishing, transportation and metal sourcing considered?
- Was the claim independently verified?
Buyer takeaway: Prefer specific evidence over broad terms such as “eco-friendly,” “zero-impact” or “completely sustainable.”
Resale Value and Long-Term Ownership
Do laboratory-grown diamonds have resale value?
A laboratory-grown diamond may receive an offer in the secondary market, but the amount can be substantially below the original retail price. Falling production and replacement costs can affect what a used stone is worth.
Do natural diamonds retain value better?
Natural diamonds generally have a more established secondary market, but they also frequently resell below their original retail price.
Natural-diamond resale depends on:
- Rarity.
- Carat weight.
- Color and clarity.
- Cut quality.
- Grading documentation.
- Brand.
- Condition.
- Current buyer demand.
- The channel used to sell the piece.
Should either diamond be treated as an investment?
Ordinary retail diamond jewelry should not automatically be treated as a financial investment. Exceptional natural diamonds may behave differently from commonly available stones, but that market requires specialist knowledge.
For most buyers, diamond jewelry is best evaluated according to beauty, craftsmanship, emotional meaning, wearability and the total cost of ownership.
Should laboratory-grown diamonds be insured?
Insurance may be appropriate when replacing the piece would create a meaningful financial burden. Review whether the policy covers:
- Theft.
- Accidental loss.
- Damage.
- Mysterious disappearance.
- Worldwide travel.
- Replacement with a comparable laboratory-grown stone.
Because replacement prices can change, review the insured value periodically instead of assuming that the original purchase price will remain accurate.
GIA and IGI Laboratory-Grown Diamond Reports in 2026
A grading or quality-assessment document can help confirm origin and describe important characteristics, but buyers should understand which system the issuing laboratory uses.
GIA’s updated approach
Beginning October 1, 2025, GIA introduced an updated quality-assessment service for eligible D-to-Z laboratory-grown diamonds. Instead of applying its traditional natural-diamond terminology, qualifying stones are described as:
- Premium
- Standard
The assessment considers color, clarity, cut and finish criteria. Submitted stones that qualify are also laser-inscribed with “Laboratory-Grown” and the GIA assessment number.
IGI’s approach
IGI continues to issue laboratory-grown diamond reports using the 4Cs:
- Carat weight.
- Color.
- Clarity.
- Cut where applicable.
IGI reports clearly identify natural or laboratory-grown origin and may also note growth method and treatment information. Finished-jewelry reports can describe mounted stones as the setting permits.
What buyers should verify
- Confirm that the document clearly states laboratory-grown origin.
- Verify the report number on the laboratory’s official website.
- Compare shape, measurements and carat weight.
- Review color, clarity, cut and finish terminology.
- Check growth-method or treatment comments where reported.
- Inspect the laser inscription when one is present.
- Confirm whether the report covers the loose stone, center stone or complete jewelry item.
Do not assume that reports from different laboratories use identical terminology or thresholds.
For additional buying guidance, review Rosec Jewels’ guide to choosing laboratory-grown diamonds in 2026.
Which Diamond Suits Which Buyer?
A laboratory-grown diamond may suit you when:
- You want a larger-looking center stone within a defined budget.
- You prefer to allocate more money to the setting or customization.
- You specifically want diamond material but do not require natural origin.
- You are comfortable with uncertain resale value.
- You intend to wear and enjoy the jewelry rather than purchase it for appreciation.
- You prefer avoiding a newly mined center stone.
A natural diamond may suit you when:
- Natural geological origin is central to the meaning of the piece.
- You value rarity, provenance and traditional diamond heritage.
- You want access to a more established secondary market.
- You are interested in a rare natural color or exceptional natural specification.
- You are comfortable paying a higher initial price.
- You want the piece to emphasize natural scarcity rather than visual size.
Consider the complete ring, not only the center stone
A well-designed ring depends on more than diamond origin. Evaluate:
- Cut quality and visible performance.
- Setting security.
- Prong construction.
- Band thickness.
- Metal type and purity.
- Side-stone quality.
- Comfort.
- Resizing limitations.
- Warranty and repair policies.
- Return and exchange terms.
Laboratory-Grown vs Natural Diamond Buying Checklist
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Set your total budget. Include the center stone, setting, metal, taxes, resizing, insurance and future maintenance.
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Decide whether natural origin matters. This is the most important distinction and cannot be changed later.
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Compare like-for-like stones. Match shape, carat weight, measurements, cut, color, clarity and report type.
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Prioritize cut quality. A poorly cut larger stone may look less lively than a smaller, better-cut diamond.
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Review the report. Confirm the issuing laboratory, origin terminology, report number and physical measurements.
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Ask about treatments. Post-growth treatment is not automatically a problem, but it should be disclosed accurately.
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Understand resale expectations. Ask for realistic information rather than investment promises.
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Review sustainability evidence. Look for specific producer and supply-chain disclosures.
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Check retailer policies. Read the return, warranty, repair, resizing and upgrade conditions.
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Choose according to personal meaning. The best diamond is the one that fits the wearer’s priorities rather than somebody else’s definition of luxury.
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Explore Lab Grown Diamond RingsFrequently Asked Questions
Will laboratory-grown diamonds replace natural diamonds?
Complete replacement is unlikely. Laboratory-grown diamonds are becoming dominant in some value-led engagement-ring segments, while natural diamonds retain demand connected to geological origin, rarity, provenance and luxury heritage. The market is more likely to divide into distinct categories than eliminate one completely.
What percentage of engagement rings use laboratory-grown diamonds?
The Knot’s 2026 Real Weddings Study reported that 61% of surveyed US couples who chose a diamond during 2025 selected a laboratory-grown stone. This percentage describes that survey population and should not be treated as the worldwide market share for every jewelry category.
Are laboratory-grown diamonds real diamonds?
Yes. Laboratory-grown diamonds consist predominantly of carbon arranged in a diamond crystal structure. They have essentially the same chemical, physical and optical properties as natural diamonds but are produced through CVD or HPHT technology.
Why are laboratory-grown diamonds cheaper?
Their supply can expand through manufacturing, and production costs may fall as technology improves. Natural diamonds carry a rarity premium connected to limited geological deposits, extraction and established luxury-market traditions.
Why have laboratory-grown diamond prices fallen?
Expanding production capacity, improving manufacturing efficiency and competition have placed pressure on prices. Industry analysis reported a 26% average wholesale decline during 2025, although movement varied by stone size and slowed during the final quarter.
Are natural-diamond prices falling because of laboratory-grown diamonds?
Laboratory-grown competition is one factor, particularly in lower-priced engagement-ring categories. Natural-diamond prices are also affected by economic conditions, tariffs, inventory, mining supply, consumer confidence and regional demand.
Do laboratory-grown diamonds have resale value?
They may receive secondary-market offers, but resale prices can be substantially below original retail prices and are affected by changing new-stone replacement costs. Buyers should purchase them primarily for use, beauty and symbolism.
Are natural diamonds a good investment?
Most ordinary retail natural-diamond jewelry should not automatically be treated as an investment. Exceptional rarity, provenance, grading, brand and market demand may support certain specialist stones, but normal jewelry can resell below its original price.
Are laboratory-grown diamonds always more sustainable?
No. They avoid new diamond excavation, but production requires energy and equipment. Environmental impact varies according to the electricity source, manufacturing efficiency, treatment, cutting, transportation and the materials used in the finished jewelry.
Can a jeweler tell a laboratory-grown diamond from a natural diamond by eye?
Not reliably. Specialized screening and spectroscopic instruments are generally required to confirm growth origin. A grading or assessment document can provide useful identification information when it matches the physical stone.
Does GIA grade laboratory-grown diamonds with the traditional 4Cs?
For eligible D-to-Z laboratory-grown diamonds submitted under its updated service beginning October 1, 2025, GIA uses the descriptive categories Premium and Standard instead of applying its traditional natural-diamond terminology.
Does IGI use the 4Cs for laboratory-grown diamonds?
Yes. IGI laboratory-grown diamond reports identify origin and document carat weight, color, clarity and cut where applicable, along with measurements, finish and other relevant information.
Which type is better for an heirloom?
Either can last for generations when the stone and setting are well maintained. Natural diamonds may appeal more strongly when geological rarity and traditional inheritance value are important. Laboratory-grown diamonds may suit families who prioritize design, wearability and sentimental meaning over natural scarcity.
Should a laboratory-grown diamond be insured?
Insurance may be worthwhile when replacing the jewelry would be financially difficult. Confirm how the insurer determines replacement value and whether a comparable laboratory-grown diamond would be supplied after a covered loss.
Is HPHT better than CVD?
Neither method is automatically superior. Both can produce attractive gem-quality diamonds. Evaluate the individual stone’s cut, color, clarity, treatment disclosure, grading information and visual appearance.
Sources and Methodology
This article compares current consumer-adoption research, laboratory-grown wholesale-price analysis, natural-diamond company reporting and gemological guidance. Figures from individual studies describe their own samples and should not be treated as universal predictions.
- Edahn Golan: Laboratory-Grown Diamond Wholesale Prices in 2025
- GIA: Difference Between Natural and Laboratory-Grown Diamonds
- GIA: HPHT and CVD Diamond Growth Processes
- GIA: Updated Laboratory-Grown Diamond Services
- IGI: Laboratory-Grown Diamond Reports
- FTC: Advertising Diamonds with Clear Disclosures
Editorial disclaimer: Diamond prices, demand, grading services, insurance terms and resale offers may change. Environmental impact varies by producer and supply chain. This article provides general educational information and is not financial, investment, insurance or legal advice.