Editor’s Note
This article examines the potential impact of proposed U.S. tariffs on the colored gemstone trade. While implementation is currently paused, the industry is assessing risks and preparing for possible supply chain disruptions and price fluctuations.
May 01, 2025
Though currently paused, high tariffs threaten many countries where gemstones are mined. Dealers are taking measures now to prepare.
New York—In early April, President Donald Trump announced a slate of so-called reciprocal tariffs and then, the following week, paused the deployment of the new rates for 90 days.
Although the higher tariffs were only in effect for about 13 hours, Trump’s initial announcement rattled the jewelry industry, with rates between 10 and 50 percent (Lesotho) on imports from many countries where gemstones are mined.
While the pause is slated to remain in effect until July, a baseline tariff of 10 percent, which is applied in addition to existing duties, remains in effect for most countries.
China is excluded from the pause; it currently faces a slew of tariffs (in some cases exceeding 200 percent), with rates varying by product.
Colored gemstone dealers, especially those who source from several different countries, are not only adjusting to the new baseline tariff but also preparing for what may happen in July, when the 90 days is up.
In interviews with National Jeweler, some relayed feelings of cautious optimism regarding the potential for a trade agreement prior to the end of the pause, and industry associations said they already are lobbying for exemptions for gemstones.
Others worry about the ripple effect the tariffs will have overseas in countries where the gemstone trade supports entire communities.
For dealers like Monica Stephenson, co-founder of Moyo Gems, a collaboration with the female artisanal miners of Tanzania’s Umba Valley, and president of Anza Gems, the end of the pause won’t change the rates.
Stephenson sources exclusively from Tanzania and Kenya, and imports from both countries will still face a 10 percent tariff, the minimum in the slate of rates announced.
In a LinkedIn post, she wrote that, prior to the tariffs, she paid the Tanzanian government “about 7% (6 + 1% on the value of gems exported) plus export and other fees outside of the cost of shipping to the US (Kenya slightly less).”
She recently started having some gemstones cut in Thailand, but for the most part, Stephenson has her gems faceted in the U.S.
She said her company’s short and direct supply chain, with materials traceable to the source, makes her feel more prepared to adjust to geopolitical and economic turbulence.
As a business owner, knowing precisely where materials come from and being familiar with the export process can mean fewer complications when it comes to ensuring compliance.
Her initial plan is to continue have old stock of rough gems faceted, and she doesn’t anticipate raising prices for as long as she can process old material.
Jade supplier Mason-Kay Jade also is relying on its current stock.
Much of Burmese jadeite jade is sold through China, but, since the U.S. sanctions on Burmese gemstones were implemented in 2003 and 2008, the company has bought second-hand jadeite jade domestically.
The company purchases much of what is offered, as it is able to test the gemstones to confirm they are natural jadeite.
Other buyers often consider the jade to likely be treated—which Mason-Kay owner Jeff Mason called a “wise concern”—and will only pay for settings.
While it has recently started working with Guatemalan jadeite cutters, as more gem-quality jadeite has been discovered in the country, Mason-Kay Jade has worked with cutters in China for years.
While the “reciprocal” tariffs are on pause, China currently is embroiled in a trade war with the United States, and Chinese imports into the U.S. are heavily taxed.
While the current tariff rate has been widely reported as 145 percent, in reality, it’s more nuanced, with rates varying for different products.
The percentage applied to gemstones imported from China is not immediately clear.
As of press time, Mason said he was awaiting paperwork for recent shipments from China of what he called “lower-priced items,” like repairs and special orders, to see the exact rates for those.
Mason thinks a trade agreement between the U.S. and China is likely, adding, “We are confident that our industry will be able to gain an exemption for gemstones, as very few actually come from within the borders of the U.S.”
The American Gem Trade Association has engaged a lobbyist in Washington, D.C., who specializes trade issues, AGTA CEO John Ford said in an email to National Jeweler.
