The Luxury and JCK Las Vegas shows opened to mixed sentiment in the diamond and jewelry industry, with exhibitors reporting steady US consumer appetite alongside caution in the trade.
Sentiment was positive on the first days of the Luxury show, which kicked off on Wednesday. Traffic and sales were solid as retailers were mostly keen to secure goods in response to solid end demand, participants told Rapaport News on Thursday.
“People didn’t want to buy so much last year, and I feel like now it’s almost like, ‘Hey, we’ve got to do something,’” said the owner of a bridal-jewelry supplier at the fair.
The Luxury show focuses on higher-end finished jewelry, mainly with diamonds. President Donald Trump’s tariffs have had a limited impact on domestic consumer demand in this segment, exhibitors at Luxury observed, though it has created challenges for sourcing loose diamonds and finished jewelry.
Political uncertainty has made some retailers reluctant to restock despite decent end sales, vendors reported.
Challenges for loose
The mood was more varied at the JCK Las Vegas show on Friday, its first day. The fair reflects a more diverse range of diamond, gemstone and jewelry businesses.
Appetite for loose diamonds was sluggish as US dealers work through their local inventories, overseas polished suppliers reported. Many manufacturers shipped large quantities of goods to America in early April ahead of the 10% tariffs taking effect.
Wholesalers and retailers are also reluctant to buy at tariff-affected rates in case Trump reduces or abolishes the levy, leaving them with inventory for which they overpaid.
An executive at a medium-sized US jewelry retailer that visits the shows as a buyer said he had stopped purchasing loose diamonds other than for specific orders, citing the extra costs from tariffs.
The name’s bond
Foreign exhibitors had an added challenge because goods they ship from overseas to the show incur tariffs. Most Indian diamond manufacturers displayed US-based inventory where available, meaning many had fewer goods on display. Some exhibitors decided not to attend at all, leaving some booths empty in the diamond area.
Those that brought polished from India did so under Temporary Importation under Bond (TIB) arrangements that shipping companies had facilitated. This exempts the goods from tariffs and is relatively inexpensive. However, the vendors are unable to sell directly at the show and must export the goods back to the country and reimport before delivering them to a customer.
Luxury and JCK Las Vegas run until Monday at the Venetian Expo in the Nevada city.
Image: The opening of the JCK Las Vegas show. (JCK Events)
