EU Excludes Polished Diamonds from Tariff Response to US Duties
The European Union has decided not to include polished diamonds in its retaliatory tariff package introduced in response to the new reciprocal trade measures by the United States.
According to the Antwerp World Diamond Centre (AWDC), such a move would have inflicted “significant harm” on Belgium’s diamond industry, while delivering minimal impact on the U.S. economy.
“We are extremely pleased and grateful that our persistent advocacy over the past weeks contributed to the European Council’s decision to exclude U.S. diamonds from the tariff list,” said AWDC CEO Karen Rentmeesters. “Our industry routinely ships diamonds back and forth between Belgium and the United States — for instance, to obtain certification from major grading labs based there. Without this exemption, the same diamond could have been subjected to tariffs twice — once upon entering the U.S., and again when returning to Europe.”
The United States remains a vital trading partner for Belgium, accounting for 16% of its total diamond trade — valued at approximately $3.9 billion annually, according to the AWDC, which represents all Belgian diamond companies.
The organization emphasized that if the EU had proceeded with tariffs on U.S. diamond imports, it would not have pressured Washington to ease or lift its duties. Instead, it would have triggered a counterproductive ripple effect across the diamond trade.
“Import tariffs are determined based on a product’s country of origin,” Rentmeesters explained. “In the case of polished diamonds, that refers to where the stone was cut — which is rarely the U.S. As a result, an EU tariff on U.S. diamonds would have affected only a small segment of actual trade. Yet all shipments would face stricter scrutiny to verify cutting origins, creating unnecessary red tape and delays — a burden our industry cannot afford.”
On April 9, U.S. President Donald Trump announced a 90-day suspension of tariffs for all countries except China. Existing tariffs will remain at 10%, while duties on Chinese imports have been sharply increased to 125%.
