By CNBC AI News – May 19, 2025 – Chinese customs officers at Luohu checkpoint have uncovered an unconventional smuggling attempt involving lab-grown diamonds valued at RMB 270,000 ($37,800) concealed within a female traveler’s sanitary products.
During routine inspections on Sunday, officials noticed a middle-aged woman entering the customs area without declaration who displayed visible nervous behavior and unusual body language. The suspicious circumstances prompted immediate intervention by inspection officers.
A follow-up physical check revealed two transparent plastic bags secreted within the traveler’s hygiene products, each containing a large quantity of colorless gemstones concealed under various layers. Further analysis by the Shenzhen Customs Industrial Products Testing Center confirmed the materials were synthetic diamond gemstones.
Testing revealed 2,003 individual stones totaling 616.43 carats, all made through high-temperature high-pressure (HTHP) and chemical vapor deposition (CVD) processes. The case has now entered formal customs investigation proceedings, with potential administrative penalties or criminal charges pending review.
According to technical specifications, synthetic diamonds possess identical physical properties and crystal structures to natural diamonds but cost about 5% of mined diamond prices per carat. Karen Johnson, precious materials expert at the Gemological Institute of America, notes “The technology behind these engineered diamonds has progressed so rapidly that detectors now require specialized equipment to distinguish them from natural stones, especially when unmounted.”
The discovery highlights emerging challenges in gemstone trade regulation. While industrial-grade synthetics have long been used in manufacturing applications from medical tools to semiconductor equipment, jewelry-grade lab diamonds only achieved commercial viability in the past five years. Global synthetic diamond production for luxury markets is projected to double by 2027 according to Bain & Company analysts, creating both growth opportunities and ethical dilemmas for traditional diamond markets.
The World Federation of Diamond Bourses requires all lab-created diamonds over 0.25 carats to be laser-inscribed with their origins. “This case demonstrates the critical need for such disclosures,” said Matthew Ashworth, commodity compliance specialist at Deloitte, adding that traders failing to disclose synthetic origins face potential reputational damage and legal consequences under new international labeling regimes.
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