GEMSTONES

Production The value of natural gemstones produced from U.S. deposits during 2023 was estimated by the U.S. Geological Survey (USGS) to be $9.9 million, essentially unchanged from 2022. U.S. natural gemstone production included agate, beryl, coral, diamond, garnet, jade, jasper, opal, pearl, quartz, sapphire, shell, topaz, tourmaline, turquoise and many other gem materials. More than 60 varieties of gemstones have been produced from U.S. mines, but commercial mining of gemstones has never been extensively undertaken in the United States. Most U.S. gemstone production has been from relatively small mining operations, or production has been as a byproduct of the mining of other mineral commodities. In the United States, much of the current gemstone mining is conducted by collectors, gem clubs and hobbyists, rather than commercial organizations. The commercial gemstone industry in the United States consists of individuals and companies that mine gemstones or harvest shell and pearl, firms that manufacture synthetic gemstones, and individuals and companies that cut natural and synthetic gemstones. The U.S. gemstone industry is focused on the production of colored gemstones and on the cutting of large diamonds. During 2023, each of the 50 states produced at least $1,760 worth of gem materials. Ten states accounted for 89 percent of the total value, as voluntarily reported to the USGS by survey respondents. These states (listed in alphabetical order) were Arizona, Arkansas, California, Colorado, Idaho, Maine, Montana, Nevada, Oregon and Utah. Some states are known for the production of a single gem material, such as Tennessee for freshwater pearls. Other states, including Arizona, California, Colorado, Idaho, Montana, Nevada and North Carolina, are known for producing a variety of gemstones. California and North Carolina have identified deposits of three of the most popular precious gemstones: emerald, ruby and sapphire. Both states reported production of emerald, ruby and sapphire during 2023, and diamonds have been found in both states in the past. The USGS estimated the value of U.S. synthetic or manufactured gemstone production was $89 million in 2023. Reported output of synthetic gemstones was from eight companies in Arizona, California, Maryland, New York, North Carolina, Oregon, South Carolina and Wisconsin. Production included the manufacture of azurite, malachite, diamond, moissanite and turquoise. Consumption and uses Although the United States accounts for only a small portion of the total global gemstone production, it is one of the world’s leading gemstone markets. U.S. gemstone markets were estimated to account for more than 35 percent of world gemstone consumption in 2023. U.S. apparent consumption of unset gemstones decreased by 20 percent over the previous year during 2023 to an estimated $21 billion. The U.S. apparent consumption for unset gem-quality diamond during 2023 was estimated to be about $18 billion. U.S. apparent consumption for unset nondiamond gemstones totaled about $2.2 billion. The major uses for gemstones in the United States were in jewelry, for carvings, and in gem and mineral collections. Prices Gemstone prices are governed by many factors and qualitative characteristics, including beauty, clarity, demand, durability, freedom from defects, perfection of cutting, and rarity. Colored gemstone prices are generally influenced by market supply-and-demand considerations, and diamond prices are supported by producer controls on the quantity and quality of supply. Diamond pricing in particular is complex; values can vary significantly depending on time, place, and the subjective evaluations of buyers and sellers. Imports and exports Trade data in this report are from the U.S. Census Bureau and were adjusted by the USGS. During 2023, total U.S. gemstone trade with all countries and localities was about $25.8 billion ($22.8 billion in imports plus $2.98 billion in domestic exports). In 2023, U.S. domestic exports of diamond were valued at $2.43 billion. U.S. domestic exports of gemstones other than diamond were valued at $547 million. U.S. imports of diamond were valued at $20.1 billion, and U.S. imports of gemstones other than diamond were valued at $2.70 billion. The United States is a significant international diamond transit center as well as one of the world’s leading gem diamond markets. The large volume of reexports shipped to other centers is one measure of the significance of the United States in the worldwide diamond supply network. In a four-year (2019 to 2022) average of U.S. import sources by value, the leading gemstone sources were India, 47 percent; Israel, 27 percent; Belgium, 11 percent; and South Africa, 4 percent. Diamond imports accounted for an average of 89 percent of the total value of gemstone imports during 2019 to 2022. Outlook During 2023, U.S. jewelers continued to expand their online business and sales from their websites. U.S. apparent consumption of gemstones has increased to and is continuing at prepandemic levels. The major U.S. gemstone trade shows are being held again. During 2023, world diamond production decreased slightly from 2022 levels. By 2025, several large mines will reach the end of their mine lives, while only a few new projects are currently being developed. Online auctions gained a higher share of rough diamond sales. Global gemstone sales are expected to increase at a steady rate over the next five years. Internet sales of diamonds, other gemstones and jewelry are expected to continue at a high level and to increase in acceptance, along with other forms of e-commerce that have emerged to serve the diamond and gemstone industries, partially replacing “brickand- mortar” store sales. More synthetic gemstones, simulants and treated gemstones are likely to enter the marketplace and necessitate more transparency in the industry trade standards to maintain customer confidence. References U.S. Geological Survey, 2024, Mineral Commodity Summaries 2024—Gemstones: U.S. Geological Survey, p. 78–79, https://pubs.usgs.gov/periodicals/mcs2024/mcs2024-gemstones.pdf. U.S. Census Bureau.

GEMSTONES

Authored by:
Donald W. Olson

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