What's Happening?
Angola's diamond production reached 10.7 million carats in the first nine months of 2025, as the country aims for a record output of 14.8 million carats by year-end. This follows a record 14 million carats produced
in 2024, positioning Angola as the third-largest diamond producer globally, behind Russia and Botswana. The increase in production is attributed to operational stability at the Catoca and Luele Mining Companies, which are jointly owned by Angola's state-owned Endiama and Oman's Taadeen Investment. Despite the rise in production, the value of Angola's diamond exports fell by 14% due to a collapse in prices, driven by competition from synthetic diamonds and global economic uncertainties.
Why It's Important?
Angola's increased diamond production highlights its strategic position in the global diamond market, especially as it seeks to diversify its economy beyond oil. The decline in export value, however, underscores the challenges faced by natural diamond producers amid rising competition from synthetic alternatives and economic pressures. This situation could impact Angola's revenue from diamond exports, affecting its economic stability and growth prospects. The shift in partnerships, with Oman's Taadeen Investment replacing Russia's Alrosa, also reflects geopolitical shifts and the impact of international sanctions on business operations.
What's Next?
Angola's focus on increasing diamond production and securing new partnerships suggests a strategic move to strengthen its position in the global market. The country may continue to seek international partnerships to enhance its mining capabilities and offset the impact of falling diamond prices. Additionally, Angola's bid for a majority stake in De Beers could lead to significant changes in the global diamond industry, potentially affecting market dynamics and competition.
Beyond the Headlines
The shift from Alrosa to Taadeen Investment as Angola's partner in diamond projects highlights the broader geopolitical implications of international sanctions and the reconfiguration of global business alliances. Angola's efforts to increase diamond production and secure new partnerships may also reflect a broader trend among resource-rich countries to assert greater control over their natural resources and seek more favorable terms in international trade.
