Harsh sanctions against Russian diamonds are under threat as the US revises its own position on the issue.
Why did the US change its mind about introducing tough sanctions against Russian diamonds?
It is noted that the US position was probably influenced by protests from African countries, Indian diamond producers and American jewellers.
Journalists, regarding two sources, emphasise that the USA has allegedly stopped participating in meetings of G7 working groups on the issue of sanctions against diamonds of Russian origin.
The proposed sanctions include:
Introduction of a direct ban on the export of diamonds of Russian origin (already in force),
The ban on the export of diamonds from 1 carat made from diamonds of Russian origin (already in force),
Lowering the threshold to 0.5 carats from September 2024.
In addition, all imports of diamonds of Russian origin will pass through Antwerp, one of the largest diamond trading centres, for blockchain certification.
What they say in the USA
However, publication interlocutors report that the US has lost interest in tracking the country of origin of diamonds.
Due to this, the discussion of this issue reached a dead end.
According to one of the representatives of the White House, the obligation to introduce a tracking mechanism by September 1 concerns the European Union, not the United States.
We have to take into account the concerns of the African partners and manufacturers, partners from India and the UAE and make sure that we can also make it suitable for the US industry, explains one of the US officials.
According to him, a mechanism for tracking the country of origin of diamonds that would satisfy all requirements does not yet exist.
The G7 countries undertook to implement it by September 1.
In February, the heads of Angola, Botswana and Namibia, which account for 30% of diamond production, addressed the G7 leaders. They said the decision to establish a single point of access to the G7 market restricts freedom and harms income from the diamond trade.
Proponents of the sanctions say that a tracking mechanism is necessary for a credible embargo, but it cannot be effective without the full participation of the US, which accounts for 50% of the diamond jewellery market.
