Chow Tai Fook has partnered with luxury travel retailer DFS Group, a subsidiary of LVMH, to open its second boutique in the United States on the Hawaiian island of Oahu. The Hong Kong-based jeweler’s branded store will launch in T Galleria by DFS in the heart of Honolulu and close to the iconic Waikiki Beach. T Galleria by DFS is a prime shopping destination for travellers seeking leading international luxury brands; Hawaii is a popular wedding and honeymoon destination, with jewelry fast becoming a key retail category for travellers to the islands.
The world’s largest jeweler, Hong-Kong based Chow Tai Fook, reports strong retail sales growth in the fiscal fourth quarter, reversing 12 consecutive quarters (3 years) of same store sales decline in Hong Kong and Macau, dating back to Q4 2014. The uptick was strongest in Mainland China, where overall retail sales value increased 16% while same store sales rose 12%. Overall and same store sales in Hong Kong and Macau rose by 1% and 4% respectively.
The International Institute of Diamond Grading & Research (IIDGR), part of the De Beers Group, announced a polished diamond grading service partnership with Hong Kong-based jeweler Lukfook. The first partnership with a vertically-integrated Sightholder.
This spectacular 59.60 carat, fancy vivid pink, internally flawless oval cut gem – the largest internally flawless or flawless, fancy vivid pink diamond that the Gemological Institute of America (GIA) has ever graded - will hit the auction block at the Magnificent Jewels and Jadeite sale at Sotheby’s Hong Kong on April 4, where it is estimated to sell for more than $60 million. The diamond came from a 132.5-carat piece of rough mined by De Beers in Africa in 1999 before being cut and polished by Steinmetz Diamonds over a period of nearly two years.
The fourth Hong Kong International Diamond, Gem & Pearl Show (28 February-4 March) and the 34th Hong Kong International Jewellery Show (2-6 March) featured about 4,480 exhibitors, and attracted over 85,000 buyers from 144 countries and regions, up six percent over last year, according to organizer Hong Kong Trade Development Council (HKTDC). More than 33,000 buyers visited the Diamond, Gem & Pearl Show, while some 52,000 visitors attended the Jewellery Show. “Despite economic challenges, especially in the luxury goods market, the two shows attracted a record number of buyers.
Diamond industry analalist Avi Krawitz takes stock of last week's Diamond, Gem & Pearl Show in Hong Kong, as many in the industry were looking to the event for telltale signals of the prevalent mood in early 2017. All reports from the show have been positive, "as Chinese jewelers were looking for goods after being absent from the market for some time", and it was clearly a buyers' market, says Krawitz.
Retail sales in Hong Kong across all categories resigtered an 0.9% drop in value terms and a 1.4% fall in volume terms year-on-year, according to statistics released last week by the HK government.
Polished diamond prices are still soft at the start of 2017, with Rapaport's RapNet Diamond Index showing prices for the benchmark 1-carat polished diamonds down 1.2%, a trend confirmed by PolishedPrices, while IDEX noted a slight rise in February despite, "the downward path seen from mid-2016." Rapaport writes, "Diamond trading this February was slower than in previous years, with buyers pushing for deeper discounts and suppliers expecting firmer pric
As the Hong Kong Trade Fairs get under way, all eyes are on the Chinese retail market and their largest contingent of diamond consumers – the Millennials. Since 2015 luxury jewelers have noticed a growing demand for diamonds by Chinese millennials, aged 18 to 34, who are altering the perception that diamonds are only a symbol of love to be received when getting engaged, married or for an anniversary.
The Antwerp diamond industry is readying to send a large delegation to the Hong Kong International Diamond, Gem & Pearl Show next week, February 28 - March 4. The Antwerp Diamond Pavilion, organized by the Antwerp World Diamond Centre (AWDC), will host over 80 companies and occupy nearly 1,200 square meters of the Diamond Hall at the AsiaWorld-Expo. As an additional feature this year, exhibitors at the Antwerp Diamond Pavilion will have the opportunity to screen their diamond parcels using HRD Antwerp's
The year of the Rooster has officially commenced, and with that, the sales results of the Chinese New Year holiday period have been released. Chow Tai Fook reported mainland China outperformed Hong Kong and Macau’s holiday sales. During this period, between January 14 and February 3, revenue from the mainland rose by 4%, while same store sales grew by 1%. Gem-set sales on the mainland dropped by a whopping 20%, which is likely due to the brand not including the Valentine’s Day sales period this year.
Chow Tai Fook Jewellery Group Ltd., which operates over 2,300 shops in more than 500 cities, indicated strong sequential growth over Q2 2016 after experiencing substantial declines during the past two years amid a slowdown in China's economy and fewer tourist arrivals in Hong Kong.
A 3D printing startup from Hong Kong, called POESIS, has successfully completed its crowdfunding campaign on Kickstarter for a smart 3D printing jewelry system which allows anyone to easily create unique and resilient rings and bracelets. A study by YouGov, a prominent data research firm, indicated that marketing efforts by high-end jewelers for Millennials are proving to be inefficient.
Tuesday November 29 was a big day for jewelry auctions in Hong Kong, as Christie's Magnificent Jewels Auction achieved a total (incl. buyer's premium) of US$78.8 million (HKD 611,146,250 million), while Sotheby’s sold $3.5 million (HKD 26.8 million) worth of jewelry at its Important Jewels and Jadeite auction.
The weakening of the yuan against the Hong Kong dollar is making life even more difficult for the city’s retailers, with brands forced to raise prices of local goods for mainland visitors to offset the yuan's fall amid an already weak tourism industry, writes the South China Morning Post.
The Federation of the Swiss Watch Industry FH reports that September 2016 marks the fifteenth straight month of falling exports. The downturn in watch industry exports flattened out in the third quarter, but remained significant in September, at -5.7%, coming in at a total value of $1.72 billion (1.7 billion francs). Exports to the United States - the leading export county for the second time this year with 11.3% of the total market - rose 4.7%, while those to Japan (7.5% of market) increased 8.9%.
Diamond smuggling in China, an issue that has received significant press in recent years, is not going away.
The September Hong Kong Jewellery & Gem Fair drew 55,768 unique buyers from 147 countries and regions this year. "The attendance," writes Anthony Demarco for the Jewelry News Network, "which still ranks the annual event as the top fine jewelry trade fair in the world, is a 3.2 percent decline from the prior year." He notes that this is the second consecutive year that the fair saw a drop in attendance. In 2015, the fair attracted 57,616 unique visitors, which was again 2.5 percent drop from the year before.
The Chinese National Day holiday period - also known as Golden Week - started October 1 and runs until October 7. It is the most important period after Chinese New Year in terms of the number of Chinese travelers, writes Jing Daily.
With diamond traders heading home as the Hong Kong Jewellery & Gem Fair came to an end on Monday, most appeared to be relatively optimistic though cautious ahead of the approaching holiday sales season. Demand for diamonds in the Far East remains soft due to the economic slowdown in China and an ongoing drop in tourists arriving in Hong Kong, Rapaport News reports.
Chow Tai Fook, the world’s largest publicly traded jewelry chain, is warning that the jewelry market remains challenging even though it expects a decline in sales to ease off in the second half of this year. It also hopes to benefit from easier comparisons in the second half with the same period of 2015. “This year is still a challenge because the volatile global economy is affecting buying sentiment as a whole,” Kent Wong, the managing director of Chow Tai Fook Jewellery Group, told Rapaport News.
Stephen Lussier, the CEO of De Beers brand Forevermark, said steps taken in the second half of 2015 after production was reduced had proved their effectiveness with a stronger performance for De Beers in 2016. "We are pretty optimistic," he told Bloomberg TV. "Demand is holding up but I would call it steady rather than booming in terms of consumer sales. This makes us cautious and careful about the second half of 2016 but the polished market has really been stable."
Rio Tinto’s 2016 Argyle Pink Diamonds Tender is being showcased in Hong Kong against the backdrop of the annual Hong Kong Gems and Jewellery Fair. The 2016 Tender collection features 63 unique diamonds. The centerpiece of the collection is The Argyle Violet, the largest violet diamond unearthed from the Argyle mine and the largest diamond in the 2016 Tender.
Pin Lee, writing for the South China Morning Post, spoke with insiders from the Hong Kong and Asian diamond market to get their opinions on diamonds as an investment. While not without risk, as with any investment, by making a careful choice and focusing on the highest quality and rarest of stones, one should end up with a rock-solid investment. "Generally speaking," said Chin Yeow Quek, Sotheby’s deputy chairman of Asia and chairman of international jewellery in Asia, "diamonds do not fluctuate but, as with most items of value, there will be some ups and downs.
New Diamond Technology (NDT) has produced a blue diamond that it says is the world’s largest lab-grown blue diamond – and more than twice the size of its previous large blue stone, reports Rob Bates in JCK Online. The SI, Asscher cut stone weighs 10.07 carats and has a fancy deep blue color. NDT's largest blue diamond had been a 5.03-carat stone.
The Antwerp World Diamond Centre's "Diamond Pavilion" at the Hong Kong Jewellery and Gem Fair starting September 13 will be replete with no less than 115 diamond trading companies, topping last year's numbers when the Antwerp diamond contingent was among the largest at the show. The Hong Kong Jewellery and Gem Fair is beyond a doubt the most important appointment in the year for the worldwide diamond and jewelry industry.
The first International Gem & Jewellery Festival (IGJF) will start next Tuesday, running from September 13 to 18 at the Hong Kong Central Harbourfront Event Space, showcasing gemstones, pearls, diamonds, opals and fine jewelry. The show will provide competition for UBM's Gems and Jewellery Fair which takes place on the same days.
The International Institute of Diamond Grading & Research (IIDGR), part of the De Beers group, announced that it will unveil the latest addition to its suite of synthetic detection technology at the forthcoming Hong Kong Jewellery & Gem Fair between September 14 and 18. The new instrument, PhosView™, is a compact, self-contained screening device designed to allow parcels of polished stones to be quickly and accurately analyzed to determine if they contain potential High Pressure High Temperature (HPHT) synthetics.
A new initiative to encourage the involvement of younger diamantaires in the industry is moving ahead, with its first major networking event to take place on September 15 during the Hong Kong Gems and Jewellery Fair. The event will be broadcast live to Belgium, Israel, and India where other Young Diamantaire events are being planned, Rapaport reported. The Young Diamantaires project grew out of a need to encourage trade members aged under 45 to become involved in the World Federation of Diamond Bourses (WFDB), explained Rami Baron, Chairman of the WFDB’s Promotion committee.
Hong Kong recorded a drop of 9 percent in polished diamond imports in the first six months of 2016 due by a drop in deliveries from the major trading centers, according to data compiled by the Diamond Federation of Hong Kong. Shipments dropped to $8.52 billion Rapaport said further extended a declining trend which began at the start of last year. Diamond and jewelry firms in Hong Kong report tough trading conditions, due in large part to a fall in the number of tourists from Mainland China.
The Hong Kong-based jewelry retailer, Chow Tai Fook Jewellery Group Ltd., plans to expand in the U.S. market by selling diamonds to retailers via a wholesale business in a bid to offset the effects of the slowdown in sales in China that has seen profits drop. The world’s largest publicly traded jewelry chain plans to start the new U.S. venture within a year and has set up a team to conduct feasibility studies, said Chow Tai Fook Managing Director Kent Wong, according to a Bloomberg report.
Luk Fook Holdings reported that the slump in sales continued in its first fiscal quarter due to a slowdown in Mainland China and low sales in Hong Kong and Macau. The firm last month reported that sales and profit tumbled for the fiscal year ended March 31.
According to the Diamond Loupe's sources on the ground, traffic at UBM's recent Hong Kong Jewellery and Gems Fair was low throughout the entire show.
Hong Kong/Chinese jewelry chain Luk Fook Holdings is the latest to suffer from what Bloomberg is calling the "Chinese malaise" among Hong Kong retailers, as sales and profit tumbled for the year ended 31 March 2016. The company is among several major jewelers hit by the Chinese economic downturn and fewer tourists travelling to Hong Kong.
Luk Fook warns that its profit for the past fiscal year which ended on March 31 is likely to drop by 35 to 45 percent as a result of reduced spending by tourists from mainland China. The strength of the Hong Kong dollar against China's renminbi is also putting Chinese visitors off buying, along with an economic slowdown in the mainland and a rise in the popularity of other tourist destinations.
ALROSA President Andrey Zharkov held a series of meetings with a broad range of industry stakeholders and associations during a visit to the JCK Show in Las Vegas this week on increasing diamond sales and implementing joint marketing programs. These included meetings with Signet Jewelers CEO Mark Light and Chow Tai Fook CEO Kent Wong on the possibility of joint marketing events aimed at the promotion of diamond consumption.
Jewelry retail giant Chow Tai Fook reported net income fell to $379 million for the year ended March 31, significantly below analyst estimates compiled by Bloomberg and 46 percent lower than the year-before figure. Hong Kong retail sales fell 12 percent in the first quarter, with jewelry and watch sales plummeting almost double that, contributing to Chow Tai Fook’s lowest profit since 2010.
Shares in Hong Kong-traded Chow Tai Fook Jewellery Group dropped to a one-month low after it announced full-year profit fell as much as 50% as weak Chinese consumer demand hit revenues and the world’s largest jewelry retailer posted hedging losses on gold loans. Profit for the fiscal year that ended March 31 fell 40-50% compared to the previous year, the company said in a Hong Kong stock exchange filing, Bloomberg reported. The company issued a similar warning in November for first-half earnings, which dropped 42% from a year before due to weaker sales in Hong Kong and Macau.
Hong Kong-based jewelry retailer Chow Tai Fook Jewellery Group has beat 107 luxury brands in the fashion, watch, jewelry and leather goods sectors to be named as China’s most digitally proficient jewelry brand in 2016, mainly due to its strong e-commerce strategy, according to the 'Digital IQ Index' by digital intelligence firm L2 Inc. The report cited the jeweler’s solid e-commerce strategy and creative use of social media platforms such as WeChat.
"As April 2016 concludes, the diamond industry has without question improved relative to a year ago, however, current industry data and commentary paints a mixed picture as to whether market fundamentals have in fact stabilized enough to support a new wave of sustainable growth continuing into the near-to-medium-term", writes Paul Zimnisky, author of the Zimnisky Global Rough Diamond Price Index to introduce his in-depth analysis of global diamond trade demand, supply and pricing in 2016.