The Gemological Institute of America (GIA) has broadened the scope of services offered at its Hong Kong and Dubai laboratories in response to new U.S. tariffs and the associated logistical challenges. The changes affect where larger and fancy colour diamonds can be submitted for grading, in light of new U.S. import duties.
Expanded Carat Limits in Hong Kong and Dubai
Effective immediately, GIA’s Hong Kong and Dubai labs will accept D-Z colour, rough or polished diamonds weighing up to 9.99 carats. This is a significant increase from the previous maximum submission weight of 3.99 carats for both locations. In addition, Hong Kong will now accept rough or polished D-Z colour diamonds of 10 carats and above, as well as fancy colour diamonds, until further notice. Previously, the Hong Kong lab only accepted yellow diamonds under 4 carats.
These adjustments allow stones to be submitted outside the U.S., where new tariffs now apply to imports from several key jewellery trade countries.
Tariffs Introduced in the U.S. Imports
The U.S. government has imposed a 10% tariff on all imports, with some countries facing higher rates. Nations with significant roles in diamond cutting and jewellery manufacturing—such as India, China, Vietnam, Thailand, Botswana, and Israel—are among those affected. Goods originating in India, for example, were initially set to face a 26% tariff. However, this rate has been paused for 90 days and currently sits at 10%.
The tariffs apply based on the country where the gemstone underwent substantial transformation, typically the location where the stone was cut. As a result, overseas businesses shipping stones to the U.S. for grading must either absorb the tariff cost or seek alternative options.
Client Guidance and Submission Options
GIA’s Senior Vice President and COO, Pritesh Patel, confirmed that clients can still submit diamonds to the Carlsbad and New York labs, but are responsible for any applicable duties.
“Our current position is, clients anywhere in the world can submit items for services to our labs in Carlsbad or New York City,” Patel stated. “They are subject to the recently announced tariffs, which, per our client agreement, they are responsible for.”
Clients may opt to use the expanded facilities in Hong Kong and Dubai to avoid additional import costs.
Patel noted that the organisation is evaluating the U.S. Temporary Importation under Bond (TIB) programme, which could allow some goods to enter the country without tariffs if not sold domestically.
“We know TIB could be potentially utilized for our process,” he said. “We’re in the process of learning more about it and seeing how it can be utilized in this situation.
“Right now there’s so much uncertainty and fluidity, and none of us knows how this will play out,” he added. “We’re working very hard to make sure that we follow the guidelines that we need to follow, and that we make it easy and efficient for our clients to submit. We are exploring every option that is available to bring goods into the United States for grading purposes.”
Ongoing Services at Other GIA Locations
The 3.99-carat submission limit remains unchanged at GIA’s laboratories in Bangkok, Johannesburg, Tokyo, Mumbai, Surat, and Gaborone.
Rough diamond submissions must comply with Kimberley Process Certification rules, and rough diamonds cannot be shipped to the Dubai lab.
GIA’s laboratories in Hong Kong, Bangkok, and Tokyo will continue to offer services for coloured stones and pearls. The Mumbai lab will continue to provide pearl services only.
