De Beers will shut down its South African diamond mine for two years to cut costs

Golden Ten Data reported on July 13 that diamond giant De Beers plans to halt production at one of its diamond mines in South Africa for two years. The company, which once dominated the diamond industry for decades, is continuing to face one of the most severe crises in the sector’s history. This $80 billion industry is under immense pressure. Post-pandemic weak demand had already dragged down the market, and as luxury consumption cools and lab-grown diamonds gain popularity, the situation has worsened further. Trade tensions and wars in the Middle East have added to the challenges. De Beers previously tried to support prices by cutting production, but oversupply from Angola and lackluster market demand have undermined those efforts. On Monday, the company announced plans to shut down its Venetia mine in South Africa for two years as part of ongoing cost reduction measures. This move will not affect its production targets, as the company will increase output at other mining sites.