Lab-Grown Diamond Price Trends 2020-2026: What the Data Shows

Lab-grown diamonds have become a staple of the jewelry market, yet the headline “lab-grown is cheaper” often masks a complex price story that has unfolded over the past several years. By the end of this article you will understand how wholesale prices have moved from 2020 through 2026, why the decline has been so steep, how different carat sizes have behaved, what the data say about future value, and why a giant like De Beers decided to pull the plug on its own lab-grown brand. The numbers come from trade-press price indexes and the public statements that accompanied the Lightbox shutdown, giving a factual record you can cite in any discussion of lab-grown diamond price trends.

Key takeaways

• Wholesale lab-grown diamond prices fell 74 percent from 2020 to early 2025, and the broader price index is down 96 percent from its 2018 start point (source) (source).
• A one-carat round in April 2022 was up to 73 percent cheaper than a comparable natural stone (source).
• The market share of synthetic diamonds reached 17 percent of diamond jewelry value in 2023 (source).
• De Beers’ Lightbox brand, launched at $800 per carat in 2018, was closed in May 2025 after wholesale prices fell more than 90 percent, with supermarket-shelf stones selling for as little as $200 per carat (source).
• In Q2 2026, 1-carat round prices rose 1 percent for the quarter while larger stones fell sharply, yet U.S. specialty retailers saw 24 percent sales growth, indicating demand can rise even as prices slide (source).

Market overview and early price advantage

The lab-grown diamond segment entered the mainstream jewelry market with a clear cost advantage. By April 2022 a synthetic one-carat round could be purchased for roughly 73 percent less than a natural counterpart, a gap that immediately attracted price-sensitive consumers and retailers alike (source). This advantage was not just a marketing hook; it reflected the economics of modern chemical vapor deposition and high-pressure high-temperature processes that can produce gem-quality stones at scale.

The price differential helped synthetic diamonds capture a measurable slice of the overall market. In 2023, lab-grown stones accounted for about 17 percent of diamond jewelry value worldwide, a share that signaled both consumer acceptance and the growing capacity of manufacturers to meet demand (source). The combination of lower cost and expanding market share set the stage for the dramatic price movements that followed.

The price trajectory from 2020 to 2026

2020-2025: A steep decline

The most striking statistic is the 74 percent drop in wholesale lab-grown diamond prices from the start of 2020 to early 2025 (source). This decline was part of a longer-term trend that began when De Beers launched its Lightbox brand in 2018 at $800 per carat. By the time Lightbox announced its shutdown in May 2025, De Beers cited a wholesale price fall of more than 90 percent since that launch, with supermarket-shelf stones available for as little as $200 per carat (source).

Analyst Edahn Golan’s Lab Grown Diamond Price Index, which has been tracking the segment since 2018, confirms the magnitude of the slide: the index was down 96 percent from its starting point as of the 2026 pricing data release (source). The index’s trajectory mirrors the wholesale price drops reported by industry sources and underscores that the decline is not a short-term blip but a sustained downward pressure.

2025-2026: Quarterly dynamics

Full-year 2025 saw a 26 percent wholesale price decline across the board (source). The momentum continued into 2026, with the second quarter reporting a 13 percent year-over-year price drop and the first quarter showing a 14 percent year-over-year decline (source). These quarterly figures illustrate that, even after the massive cumulative fall, the market kept moving lower on an annual basis.

Why the crash was so severe

Oversupply and scaling production

The primary driver behind the price collapse is the rapid scaling of manufacturing capacity. As more producers adopted advanced CVD and HPHT technologies, the supply of gem-quality stones outpaced demand. The resulting oversupply exerted downward pressure on wholesale prices, a classic market response when production growth exceeds sales growth.

Lightbox pricing strategy and market signaling

De Beers’ Lightbox brand deliberately priced stones at a premium relative to the emerging low-cost segment, starting at $800 per carat. However, as the broader market flooded with cheaper alternatives, Lightbox’s pricing became unsustainable. The brand’s eventual loss of $101.3 million in 2023, up from a $22.3 million loss in 2022, highlighted the mismatch between its cost structure and the prevailing price environment (source). When De Beers announced the shutdown, it emphasized the more than 90 percent price decline as a key factor, reinforcing the narrative that wholesale prices had entered a new low-price regime.

Supermarket availability and consumer perception

By 2025, lab-grown diamonds were being sold in supermarkets for as little as $200 per carat. This retail diffusion further eroded the perceived premium of lab-grown stones and signaled to the wholesale market that price expectations had shifted dramatically. The combination of mass-market availability and aggressive scaling created a feedback loop that accelerated the price decline.

Size-specific price movements

Not all stones have fallen at the same rate. The most recent quarterly data reveal divergent trends across carat categories:

• 1-carat round stones actually rose 1 percent for the quarter, suggesting a modest floor price for the most popular size among consumers (source).
• 1.5-1.99 carat stones fell 11 percent year-over-year, indicating that mid-size stones are more vulnerable to oversupply pressures.
• 2-carat stones experienced a 20 percent year-over-year decline, the steepest drop among the sizes reported.

These variations show that while the overall market is trending downward, demand for the most common retail size (1 carat) can temporarily buoy prices, whereas larger stones feel the full force of excess inventory.

Retail response and resale considerations

Despite the wholesale price erosion, U.S. specialty retailers reported a 24 percent increase in lab-grown diamond jewelry sales in Q2 2026 (source). The sales boost was driven by higher unit volume rather than higher average selling prices, indicating that consumers are still attracted to the aesthetic and ethical appeal of lab-grown stones even as prices fall.

The question of resale value often arises when prices are declining. A falling wholesale price does not automatically translate to zero resale value, but it does compress the margin between original purchase price and any secondary-market offer. Because lab-grown diamonds lack the historical scarcity that underpins natural diamond resale, their secondary market is less robust. The data suggest that while resale opportunities exist, they are likely to be modest and heavily influenced by current wholesale pricing trends.

Answering common buyer questions

Are lab-grown diamond prices still falling in 2026?
Yes. The second quarter of 2026 recorded a 13 percent year-over-year wholesale decline, and the first quarter showed a 14 percent decline, confirming that the downward trend continued into 2026 (source).

Why did lab-grown diamond prices crash so much since 2020?
The crash is the result of rapid production scaling, oversupply, and the diffusion of low-cost stones into mass-market channels such as supermarkets. De Beers’ Lightbox experience, launch at $800 per carat, loss of $101.3 million in 2023, and a cited 90 percent price drop, illustrates how the market dynamics overwhelmed traditional pricing models (source).

Will lab-grown diamonds keep losing value?
The data show continued price declines through 2026, but the market is also seeing growth in retail volume. Future price paths will depend on how production capacity aligns with consumer demand, especially for the most popular 1-carat size, which recently showed a slight price uptick. Predicting a definitive end to the decline would require data beyond the current reporting period.

Why did De Beers shut down its own lab-grown diamond brand?
De Beers cited the more than 90 percent wholesale price decline since Lightbox’s 2018 launch as a core reason for the shutdown, along with mounting losses, $101.3 million in 2023 versus $22.3 million in 2022 (source). The brand’s premium pricing model could not survive in a market where stones were selling for as little as $200 per carat in supermarkets.

Does a falling price mean lab-grown diamonds have no resale value?
Falling wholesale prices compress resale margins, but they do not eliminate resale entirely. The secondary market for lab-grown diamonds remains limited compared with natural stones, and resale offers will generally reflect current wholesale levels, which are now substantially lower than a few years ago.

Are all diamond sizes falling in price at the same rate?
No. While the overall market is down, 1-carat round stones rose 1 percent in Q2 2026, whereas 1.5-1.99 carat stones fell 11 percent and 2-carat stones fell 20 percent year-over-year (source). Size-specific demand and inventory levels create divergent price paths.

Looking ahead

The lab-grown diamond market has moved from a niche, premium-priced segment to a commodity-like category where price is a primary differentiator. The data from 2020 through 2026 paint a picture of aggressive price erosion driven by supply-side expansion and broader retail diffusion. At the same time, consumer interest remains strong enough to push retail sales up, especially for the most common 1-carat size. Whether the market will stabilize at a new low-price equilibrium or experience another shift will depend on how manufacturers manage capacity and how retailers position lab-grown stones amid evolving consumer preferences.

---

Related Reading

• Diamond resale value: lab-grown vs. natural (2026)
• Lab-grown diamond engagement rings for $3,000 (2026)
• Lab-grown diamond engagement rings under $1,000 (2026)