If the jewelry industry in 2025 was still debating how to respond to rising gold prices, by 2026, this cost crisis had evolved into a full-scale inflationary surge across all materials. Gold prices soared from approximately $1,549 per ounce to about $5,019 per ounce over six years-a cumulative increase of roughly 224%-with a rise of approximately 147% in the past year alone. Adding to the industry's anxiety, silver has not been spared-prices rose from about $18 per ounce in early 2020 to approximately $24 by early 2024, and by February 2026, silver prices had surged to around $83 per ounce. This means that the cost base for gold-plated silver products-which jewelers previously used as an affordable alternative to hedge against rising gold prices-has risen significantly. Faced with this situation, brands of different sizes have adopted starkly different strategies: some have switched to using more basic alloy materials such as brass and have openly explained the reasons for these adjustments to consumers via social media; others have simplified their designs, using smarter structural designs to achieve a larger visual impact with less gold.
Meanwhile, drastic changes in the international trade environment are introducing new uncertainties into the global jewelry supply chain. Starting in 2025, the U.S. will impose a 10% import tariff on goods from the UK, a 15% tariff on EU goods, and tariffs of up to 50% on jewelry imports from Brazil and China. This effectively adds another hurdle on top of already sky-high raw material costs. A Brazilian designer expressed his frustration, noting that his business has been hit by a double whammy: he faces a 50% import tax when selling Brazilian-made jewelry in Miami, while Canadian customers shopping in the U.S. must pay an additional 25% retaliatory tariff. This has forced him to rethink his inventory strategy and even cancel his plans to attend the Las Vegas Jewelry Show. In contrast, luxury brands with group-level operational capabilities, such as Bulgari and Boucheron, have stated that the impact is manageable. While the 15% tariff is unwelcome, it is at least stable and easier to plan for than the sharp fluctuations in gold prices.
This dual storm of rising costs and tariffs is accelerating the polarization of the global jewelry industry-strong players are maintaining their market positions by absorbing costs and optimizing supply chains, while independent designers and small brands are forced to seek new.
