US and EU Sanctions Tighten Restrictions on Russian Diamonds
{@@} US authorities have announced new measures that curb the import of several non-industrial diamond categories from Russia. The official statement comes from the United States Treasury Department and underscores a broader policy effort to limit the Russian diamond trade. These steps are aimed at reducing the economic flow tied to diamonds that are not used in industrial settings.
As outlined in a Treasury press release, the new rules implement a staged approach. Diamonds weighing 1 carat or more will face import restrictions starting March 1, 2024. A further threshold applies to stones weighing 0.5 carats or more, with restrictions taking effect on September 1, 2024. The Treasury document emphasizes that these limits apply to non-industrial diamonds, regardless of subsequent processing or conversion into other goods outside the Russian Federation.
Another layer of policy began on January 1, 2024 when the European Union, guided by measures from leading economies in the G7, restricted the entry of non-industrial natural diamonds and artificial diamonds from the Russian Federation. The bloc also limited diamond-containing jewelry from Russia, aligning with the broader Western sanctions regime.
From September 2024 onward, EU member states will expand the scope of the restrictions to include synthetic diamonds processed in third countries, jewelry made in third countries that uses Russian diamonds of 0.5 carats or larger, and certain types of timepieces such as wristwatches containing these materials. The aim is to close gaps that might allow sanctioned diamond material to circulate through different supply chains, while preserving legitimate commerce where possible.
Some observers have highlighted the statements earlier issued by the Governor of Russia’s central bank, Elvira Nabiullina, noting that sanctions on the diamond sector represent some of the most pointed economic measures taken against Moscow. Analysts suggest these moves are part of a broader strategy to constrain Russia’s export earnings and to send a clear message about the consequences of certain policy choices.
In Canada and the United States, policymakers and market participants will be watching how the restrictions influence global diamond markets, including pricing dynamics, supply chain reliability, and compliance burdens for traders. Officials stress the importance of clear classification rules and documentary requirements to help firms navigate the new landscape without disrupting legitimate trade. Marked citations from official releases indicate the intent to coordinate a cohesive, multijurisdictional approach to sanctions enforcement.