As speculation about the future of the De Beers Group continues to swirl, the world’s largest diamond mining company has reiterated its focus on China.
Two weeks ago, news broke that BHP Group Limited had made an unsolicited offer to purchase Anglo American, the parent company of De Beers.
While the bid was rejected, media sources have speculated that a second offer is highly likely.
In a recent visit to China, De Beers CEO Al Cook the company’s expansion in the region remains a priority.
“The next ten years will be a good opportunity to grow with China,” he told the Financial Times.
“Therefore, for the De Beers Group, it is even more important to seize this rare opportunity, increase investment in the Chinese market, and achieve growth that synchronises with China’s development.”
The company operates five stores in Shanghai and 20 across mainland China.
According to data from industry analyst Paul Zimnisky, sales of diamond jewellery declined by 3 per cent in China in the past year. The category faces pressure from lab-created diamonds and the renewed interest in gold jewellery.
In September, De Beers published the annual ‘Diamond Industry Report’ with a focus on the Chinese market. The report revealed that approximately 200 million Chinese consumers are expected to enter the middle class before 2030.
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