The President of Beers says that the Diamond tariff in Donald Trump does not benefit the American jobs

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The head of the world’s largest diamond company has expressed confidence that the United States will remove the definitions of gemstones that are believed to be “useless” for the country.

“There are no jobs in the field of diamond mining in the United States for protection” and that the company has conducted discussions with many governments on this issue.

He said that the customs tariff was useful for the United States and “will be a purely consumption tax on the American consumer.” “Jobs will not be created.”

The United States is the world’s largest market for diamond jewelry, as it represents about half of the global demand, but it has no local mining or commercial deposits known to stones.

Last month, President Donald Trump threw diamonds in turmoil and brought trade for a short period of precious stones to “stop”, according to the market participants.

The Global Diamond Council, a pressure group that represents the industry, has warned today that $ 117 billion of annual revenues in addition to 200,000 American jobs in the jewelry sector will be in danger if the United States does not remove the customs tariff for stones.

The group said in a statement on Monday: “The customs tariff will work on diamonds as a consumption tax, which raises prices on the sermon rings, gifts of anniversary, and other jewelry.”

Diamonds that enter the United States are subject to a 10 percent tariff for all imported goods, and they face a variable tax on the basis of 90 days.

Several raw materials were excluded from the definitions, but it was not diamonds – in addition to the pain to struggle with a shrinkage in demand and competition from artificial diamonds, which can be manufactured in a small part of the cost.

Since diamonds are very small and very valuable, they are often transferred all over the world in a complex supply chain that extends from mines in countries such as Botswana or Angola, to polishing centers in India, to jewelry stores in China or the United States – which makes them very vulnerable to commercial turmoil.

The conditions of the bleak market and disrupting the customs tariffs come at a particularly sensitive time for beer, as it is preparing to rush from its mother company, Anglo America listed in London, either through a sale or through a preliminary general offer.

Cook said the Anglo was appointed to launch an official sale of De Beers “very soon.” He added that the company is preparing simultaneously for the public subscription, which can happen by early next year.

De Beers reported the revenues of the first quarter of $ 520 million, which was less than 44 percent of the same period in the previous year due to low prices and sales volumes.

Angelo American has twice I wrote the value down From De Beers in the past two years, bearing fees for weakness of $ 2.9 billion on the diamond unit in February 1.6 billion dollars in the previous year.

Cook admitted that the customs tariff had a “influence” on the diamond industry, but he said it was “not as radical as it was.”

He said: “People are sure enough that in the long run, diamonds will be exempt from definitions.”

“The United States was quite clear that the natural resources produced outside the United States are not the targets of definitions.”

Cook’s comments come after the White House gave some land to the definitions by granting exemptions to elements such as smartphones and car components.

Positive noise from trade talks between the United States and India – the world’s largest diamond polish – also indicates that the decline may be at hand.

A commercial deal between New Delhi and Washington can reduce one of the main disk points along the diamond supply chain, because India shines more than 90 percent of diamonds in the world and is a major source of the United States.