The Diamond Question: Lab-Grown or Natural in 2026?

Hold a diamond to the light and the question of where it came from disappears for a moment. Then it returns, because in 2026 it matters more than ever: to what you pay, to what the stone means to you, and to what it might be worth tomorrow.

Should you buy a lab-grown or natural diamond in 2026?

Choose lab-grown for the biggest, brightest stone for your budget: CNBC found a lab diamond for about $450 where a natural stone with the same specifications cost $2,800 to $3,200. Choose natural for rarity and origin. Neither is a financial investment: natural 1-carat prices have fallen 51% since 2021, per Rapaport data.

The numbers behind the shift

CNBC reported in September that a natural 1-carat diamond now averages $3,898, 51% below its 2021 average of $8,007, according to Rapaport Group data. The Diamond Standard Index, which tracks investment-grade diamonds, hit 2,490 in early August, its lowest level ever. Diamond Standard's CEO, Cormac Kinney, blamed excess inventory after pandemic-era overproduction, followed by falling sales as lab-grown stones took share.

Lab-grown: same stone, different story

Lab-grown diamonds have the same chemical and physical properties as natural diamonds, CNBC explains; they are made by applying heat and pressure to carbon seeds, or from carbon-containing gas in a vacuum chamber, and look and feel identical. The difference is price. Brilliant Earth says lab stones cost less at every carat weight, up to 90% less than a mined equivalent depending on size, cut and colour. According to The Knot's 2026 Real Weddings Study, lab-grown centre stones made up 61% of engagement rings sold in 2025.

Natural: rarity, and a supply squeeze

The natural market is fighting back. De Beers said in July that it would halt production at its flagship Venetia mine in South Africa for more than two years, and at least two mines have announced permanent closures in 2026, CNBC reports. Kinney sees "the beginning of a recovery" for certain qualities. For many buyers, a natural stone's geological age and origin are the point, not the price.

What jewellers advise

"You shouldn't be buying a diamond thinking that there's a financial investment [aspect] to it," Cory Schifter, owner of Casale Jewelers, told CNBC. He says lab-grown stones let couples spend what they want and get what they want, rather than adding halos to make a smaller natural stone look bigger.

How to choose

• Decide what matters most. Size and sparkle for the money point to lab-grown; rarity and origin to natural.
• Buy for love, not resale. CNBC notes diamonds are illiquid and often resell for less than half their retail price.
• Spend on the cut. An excellent cut matters more to how a stone looks than its origin.
• Consider the setting. Yellow gold and solitaires are 2026's favourites. See our engagement ring trends.
• Wear it every day. A diamond on the little finger is having a moment too. Read about the signet and pinky ring.

The takeaway

There is no wrong answer, only an honest one. Buy the diamond that moves you, at a price that lets you enjoy it, and never as an investment. More in Jewelry.

Frequently Asked Questions

Are lab-grown diamonds real diamonds?

Yes. Lab-grown diamonds have the same chemical and physical properties as natural diamonds and look identical; the difference is that they are grown above ground rather than formed deep within the Earth.

How much cheaper are lab-grown diamonds in 2026?

Up to 90% cheaper, according to Brilliant Earth. CNBC found a lab stone for $450 where a natural diamond with the same specifications cost $2,800 to $3,200.

Why have natural diamond prices fallen?

A glut of mined stones after pandemic-era overproduction and falling demand as buyers switched to lab-grown. A 1-carat natural stone now averages $3,898, down 51% from 2021, per Rapaport.

Are diamonds a good investment?

Not according to jewellers interviewed by CNBC. Diamonds have no standard spot market and often resell for less than half their retail price.

What percentage of engagement rings are lab-grown?

61% of engagement rings sold in 2025 had lab-grown centre stones, according to The Knot's 2026 Real Weddings Study.