The global synthetic diamond market size was valued at USD 21.40 Bn in 2021 and is anticipated to witness a compound annual growth rate (CAGR) of 6.18 % from 2022 to 2030. Increasing disposable incomes and industrialization are expected to drive the synthetic diamond market growth in the coming years. In addition, the growing fashion industry is expected to create lucrative opportunities for the market. Rising demand for super-abrasives will also boost the market growth over the coming years. The market will also get benefit from the development of thin CVD diamond plates.
Global Synthetic Diamond Market: Regional Insights
Regionally, the Asia-Pacific region is expected to dominate the global synthetic diamond market, with China leading the way in terms of revenue. The market for synthetic diamonds will grow rapidly in the region in the coming years, driven by growing interest in this material and growing GDP of the country. China is the largest economy in terms of GDP. The country witnessed about 6.1% growth in its GDP during 2019, even after the trade disturbance caused due to its trade war with the United States. China’s real GDP grew by 2.2% in 2020 and by 8.1% in 2021, largely driven by consumer spending rebound post-pandemic. Furthermore, in 2022, as per International Monetary Fund forecasts, the country’s GDP is estimated to grow by 4.4%.
North America is expected to witness fastest growth in the global market over the forecast period. The United States construction industries was valued at USD 1,469.15 billion in 2020 and growing further in 2021. According to the US Census Bureau, during December 2021, the construction spending in the country was estimated at a seasonally adjusted annual rate of USD 1,639.9 billion, 0.2% more than the revised November estimate of USD 1,636.5 billion.
Figure 1. Global Synthetic Diamond Market, By Region
Global Synthetic Diamond Market Drivers:
Growing demand from electronics and semiconductors is primarily fueling growth of the synthetic diamond market. Synthetic diamonds provide highest thermal conductivity and have a wide electronic band gap. Moreover, they are biologically and chemically inert. As a result, the synthetic diamond allow innovative advances in electronics and semiconductor manufacturing.
Increasing demand for super abrasives is again projected to augment market growth. Synthetic diamonds are majorly used in super abrasive tools, such as drilling, cutting, and dressing tools, and grinding wheels, to produce products in the automotive, aerospace, medical, and electronics industries. Super abrasives are majorly used, due to characteristics, such as longevity, hardness, resistance to abnormal temperatures, and chemical inertness.
Global Synthetic Diamond Market Opportunities:
Increasing application in additive manufacturing is expected to provide lucrative growth opportunities. Rapid industrialization worldwide is expected to fuel demand for additive. It is widely used in industries ranging from aerospace to textiles, buildings, medical, and metals. It has ability to print custom designs, such as complex grid structures.
Diamond’s durability, low friction, and biological inertness make it suitable for orthopedic medical devices, such as joint replacements. Thus, adoption of synthetic diamonds in such applications is creating lucrative opportunities for the growth of the market.
| Report Coverage | Details | ||
|---|---|---|---|
| Base Year: | 2021 | Market Size in 2021: | US$ 21.40 Bn |
| Historical Data for: | 2017 to 2030 | Forecast Period: | 2022 to 2030 |
| Forecast Period 2022 to 2030 CAGR: | 6.18% | 2030 Value Projection: | US$ 36.59 Bn |
| Geographies covered: |
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| Companies covered: |
Adamas One Corp., Applied Diamond Inc., Element Six UK Ltd, Henan Huanghe Whirlwind Co. Ltd, ILJIN Diamond Co. Ltd, New Diamond Technology, Pure Grown, Diamonds (PGD), Sumitomo Electric Industries Ltd, Swarovski, Zhengzhou Sino-Crystal Diamond Co., and Zhongnan Diamond Co. Ltd |
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| Restraints & Challenges: |
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Global Synthetic Diamond Market Trends:
New product launch due to continuous innovation is a rising trend. This ongoing trend is expected to fuel market growth. For instance, in January 2020, Swarovski introduced a new range of lab-grown diamonds with diverse cuts and 16 fancy colors at the Haute Couture Fashion Week in Paris this week. The offering is the most extensive assortment of hues in the global market.
Growing jewelry market across developed countries due to changing fashion trend is expected to fuel global market. According to the De-Beers group, an international corporation that specializes in diamond mining, diamond exploitation, diamond retail, diamond trading, and industrial diamond manufacturing sectors, in 2020, the global diamond jewelry market was valued at approximately USD 68 billion. Nearly half of the world's demand for polished diamonds was from the United States, with 51% share of the global demand in 2020, followed by China (16%) and India (10%).
Global Synthetic Diamond Market Restraints:
Complex manufacturing process is projected to restrict the market growth of synthetic diamond. High-pressure and high-temperature (HPHT) and chemical vapor deposition (CVD) are the two process that are used to produce synthetic diamond. Process requires extremely high heat (about 2,000°C) and very high pressures (over 1.5 million PSI) to simulate process to happen deep underground. Moreover, the process is very hard and costly.
Unfavorable condition arising due to negative impact of Covid-19 on the global economy is expected to hinder the market growth.
Figure 2. Global Synthetic Diamond Market , By (Polished) Type
Global Synthetic Diamond Market Segmentation:
The global synthetic diamond market report is segmented into type, manufacturing process, and geography
Based on type, the market is segmented into Polished and Rough. Polished segment is further segmented into Jewelry, and Electronics, Healthcare, and Other Polished Types. Rough is segmented into Construction, Mining, Oil and Gas, and Other Rough Types Out of which, Polished is expected to dominate the global market over the forecast period and this is attributed to the growing global diamond jewelry market. At present, 30% of the revenue share of the synthetic diamond industry goes to jewelry applications. According to Alrosa, a Russian group of diamond mining company, the compound annual growth rate (CAGR) of diamond jewelry in India, China, and the United States were 3%, 2%, and 1%, between 2016 and 2030, while in the optimistic scenario, it is 7%, 4% and 4% respectively, in India, China, and the United States.
In rough segment construction sector is also expected to witness significant growth in the near future and this is owing to the increasing demand from cutting blade solutions for all abrasives surfaces.
Based on manufacturing process, the market is segmented into High Pressure, High Temperature (HPHT) and Chemical Vapor Deposition (CVD). Out of which, High Pressure, High Temperature (HPHT) is expected to dominate the global market over the forecast period and this is attributed to the fact that this process imitates the Earth’s natural process for diamond fabrication. Moreover, it is one of the common methods used for producing synthetic diamonds in labs.
Global Synthetic Diamond Market: Key Developments
In February 2022, Element Six UK LTD. collaborated with II-VI Inc. Through this collaboration, II-VI licenses Element Six’s intellectual property and necessary equipment will produce high-quality single-crystal diamonds to expand its core competency in diamond technology.
In July 2021, Element Six UK LTD. and the University of Warwick partnered to develop the next generation of synthetic diamond-enabled technologies. Under this partnership, Element Six applied its renowned expertise and capabilities in advanced material solutions.
Global Synthetic Diamond Market: Key Companies Insights
The global synthetic diamond market is highly competitive. This is attributed to continuous launch of new technologies due to ongoing R &D and efforts by value chain participants. Moreover, key players are adopting various business growth strategies in order to expand their presence on regional as well as global basis. Some of the key players in the global synthetic diamond market are Adamas One Corp., Applied Diamond Inc., Element Six UK Ltd, Henan Huanghe Whirlwind Co. Ltd, ILJIN Diamond Co. Ltd, New Diamond Technology, Pure Grown, Diamonds (PGD), Sumitomo Electric Industries Ltd, Swarovski, Zhengzhou Sino-Crystal Diamond Co., and Zhongnan Diamond Co. Ltd
*Definition: Synthetic diamond is produced using a high-pressure, high-temperature (HPHT) process. The process requires carbide tools, which are essential to the manufacturing process. Cemented carbide tools were first used in commercial HPHT processes in the 1950s. They were crucial in enabling the manufacturing of artificial diamond. This type of tool combines high compressive strength with high fracture toughness and wear resistance. These tools are used in high-pressure sintering processes, and they can withstand temperatures of around 1300 deg C and 5.5-10 GPa.
Synthetic diamonds are created using a series of processes that mimic the natural diamond's composition. These methods are referred to as HPHT or High Pressure High Temperature. Natural diamonds are overwhelmingly octahedral, whereas synthetic diamonds are usually cubic. The cubic growth patterns of synthetic diamonds under ultraviolet light are indicative of their synthetic origin. Today, other properties, including electron beam fluorescence and spectroscopy, are also used to distinguish natural and synthetic diamonds.
Market Dynamics:
The global synthetic diamond market is anticipated to grow over the coming years owing to the growth of the electronics and semiconductor industries. In addition, the growing fashion industry will create lucrative opportunities for the synthetic diamond market. Other growth drivers of this market include technological improvements and the growing prevalence of super abrasives, which are used in many different applications. These materials can help reduce operating temperatures and improve reliability.
On the other hand, complex manufacturing process of synthetic diamond is expected to restrict the market growth.
Key features of the study:
Detailed Segmentation:
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