More carats for less sounds great. This is why many couples choose lab-grown diamonds instead of natural, mined diamonds for their engagement rings. In addition, there is a perception that lab-grown diamonds are better for the environment.
For the first time ever, more than half of couples reported that their engagement ring contained a lab-created stone, according to The Knot’s 2025 Study of real weddings. Lab-grown diamonds have become increasingly popular in the past few years, with the number of couples purchasing them increasing by 6% compared to last year and by 40% since 2019.
“The growing popularity of lab-grown diamonds can be attributed to budget awareness, perceived value, and ethical production practices,” said Lauren Kay, executive editor at nodeHe said luck. They are “a great, viable option for those who do not want to sacrifice stone size due to budget constraints.”
Because lab-grown stones are typically cheaper than natural diamonds and there has been a huge increase in the number of lab-grown diamonds purchased, engagement ring prices have fallen, according to The Knot, which found that the current average price is $5,200, down 5.7% from 2023 and down more than 15% from 2021.
In some cases, ring buyers can expect to spend 1.5 times more on a natural diamond ring compared to a lab-grown ring.
“Design is the most important aspect of a product’s purchasing decision, and the second criterion is price,” Alexander Lasek, CEO of jewelry giant Pandora, said earlier.luckOriana Rosa Royal.
Younger generations, in particular, find it less important for a stone to be natural (22% for Generation Z, 28% for Millennials), Kay said.
Natural diamond producers have been trying to keep up with the lab-grown diamond craze. In late 2024, De Beers, the world’s largest producer of natural diamonds, reduced its prices by 10% to 15%.
“The tremendous success of lab-grown diamonds has driven down prices for natural stones far beyond what the mining industry expected, driven largely by consumers who want more affordable options,” according to a recent report. a report by McKinsey & Company, which also described lab-grown diamonds as “likely the biggest challenge facing diamond producers today.”
However, ring buyers can get a bigger stone for their money when choosing a lab-grown diamond. The average center stone weight for lab-grown diamond rings in 2024 was 2.0 carats, compared to 1.6 carats for natural diamonds, Kay said. Meanwhile, the average carat weight of an engagement ring in 2021 was 1.5 carats, jumping to 1.7 in 2024, according to The Knot.
“Clients — when it comes to wedding space — are choosing to spend the same or a similar amount of money, but for a much larger stone,” Lasek said. “Women like bigger stones. That’s the way the world works, whether we like it or not.”
Are lab grown diamonds sustainable?
Although lab-grown diamonds are touted as a more environmentally friendly option – which is appealing to younger generations – they are not completely green. The production of these stones requires exposing carbon to high pressure and high temperatures over several weeks. It is an energy-intensive process, Ulrika Dehainen-JohanssonSenior Director of Diamond Research at Gemological Institute of AmericaHe said ABC NewsMost lab-grown diamond producers use electricity from fossil fuels, including coal.
More than 60% of lab-created diamonds are produced in regions where coal is the primary source, according to a new report. International Diamond Centre (IDC). China and India are the largest producers of lab-grown diamonds, and rely on coal-fired power plants to produce the gemstones. This results in “a high level of greenhouse gas emissions associated with lab-grown diamonds, challenging the perception that they are a more sustainable option,” according to IDC.
However, the International Cultivated Diamond Association Claims Lab-grown diamonds “do not cause environmental damage.” Depending on production methods, lab-grown diamonds can have a much smaller footprint than natural diamonds, watch industry experts say. He saidNew York Times.
But ultimately, “the environment doesn’t matter” to the consumer, said Paul Zimnisky, a diamond analyst in New York. now. “Consumers don’t care about this as much as the media talks about it. Consumers buy lab diamonds because they’re so cheap. It’s all about the price.”
A version of this story appeared on Fortune.com on March 11, 2025.
The post Half of millennial and Gen Z couples pick engagement rings with lab-grown diamonds— ‘well beyond what the mining industry had expected,’ McKinsey says first appeared on Investorempires.com.
