Diamond Giant Shutters Big Mine Amid Downturn

De Beers is hitting pause on its biggest South African diamond operation for two years as demand slumps and cheaper lab-grown stones eat into sales. The company cited a weak global market—particularly in China—and the need to cut costs and simplify operations, per the BBC. Rough diamond prices have nearly halved since 2022, and the entire industry is under what Bloomberg describes as "severe strain."

The closure affects the company's mine in Venetia, in northern South Africa, which produces more than 40% of the country's diamonds and employs over 4,000 workers. De Beers, majority-owned by Anglo American, says it will use the downtime to upgrade and expand the mine's infrastructure, aiming to restart when conditions improve, even as Anglo explores a sale and pivots more toward copper.