Amid intense uncertainty and speculation about the future of sanctions related to Russia’s full-scale invasion of Ukraine in 2022, companies across all sectors are beginning to imagine what a future of sanctions relief may mean for them.
One of those sectors is that of mining and sales of natural diamonds, which is navigating a number of major challenges, only some of which are directly or indirectly connected to business involving Russia. In any case, what happens in the diamond industry related to Russia could be particularly instructive for other sectors because of its exposure to Western consumers, the physical capability of tracing the product along the supply chain from beginning to end, and its experience with mechanisms intended to improve and promote standards for responsible business.
As in any sector, Russia-related sanctions are just one part of a complex web of factors that businesses have to navigate. The natural diamond industry is facing a number of near- to longer-term challenges:
-Can it manage to find a new way forward vis-a-vis the growing interest from consumers in lab-grown diamonds?
-Will tariff wars further damage the sector?
-Who will purchase DeBeers, the industry’s most iconic name, historic leader, and, in most years, largest mining company by value? Anglo-American, which owns most of the company, has indicated for the last couple of years that it’s for sale but has taken billions in value write-downs along the way, opening up questions about its future.
For the rest of this article: https://www.justsecurity.org/110207/russia-sanctions-removal-diamonds/