Antwerp diamond sector relieved to avoid US import tariffs

There has been a great deal of uncertainty in recent months, as the Trump administration threatened to impose heavy import tariffs on diamonds polished in Europe. Now, it has been confirmed that Europe will be exempt from the 15 per cent import tax imposed on diamonds from elsewhere in the world.

“We have been lobbying for this exemption for a long time and we are very pleased that we have succeeded,” says Karen Rentmeesters, CEO of the Antwerp World Diamond Centre. “We argued that diamonds are not found naturally in the United States and that there is virtually no processing industry there. So they have to look abroad.”

Every year, polished diamonds worth just over €2 billion are exported from Belgium to the US. The exemption from import duties gives the Antwerp sector a huge competitive advantage, as it is the only major trading hub with tariff-free access to the US market. India, a significant competitor, is subject to a tariff of 50 per cent.

“We are also setting an example for other diamond-producing countries,” says Rentmeesters. “Nine out of 10 diamonds are cut in India, and several African countries now also have cutting activities. We are breaking down a barrier, allowing those countries to strive for the same exemption.”