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Coronavirus hits diamond demand in China
Coronavirus hits diamond demand in China

Recently, the global demand for jewelry, and diamonds in particular, has fallen sharply due to the coronavirus outbreak in China and other countries. According to analysts, the demand for gemstones in China has considerably declined.A diamond mining group Petra Diamonds reported that the epidemic of the new virus COVID-19 had dented demand in the diamond market as stores in China were forced to close during the Lunar New Year holidays.The coronavirus epidemic has hit not only jewellery and diamond demand in China but has also largely affected the retail sector and tourism industry in the country.Experts at Petra Diamonds believe that activity in the diamond industry is expected to reduce until the virus is brought under control. Some major industry events were delayed or relocated due to the disease. Thus, the Hong Kong International Jewellery Show was postponed for precautionary reasons. In addition, Alrosa, the world’s biggest producer of diamonds, cancelled its March auctions in China and decided to hold them in Moscow and Israel instead.Petra Diamonds has already made some adjustments to its financial plans amid the ongoing epidemic. The company’s management admitted that the fast-spreading COVID-19 virus has caused delays in their Project 2022 which is aimed at reducing the debt. Under this program, the company plans to cut its cash flow target to $100–$150 million by June 2022 from its earlier range of $150–$200 million.


เผยแพร่: 2020-02-21 06:35:30 UTC
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