GIA Expands Grading Overseas in Light of Tariffs

By Rob Bates | April 09, 2025

GIA is temporarily increasing service at its Hong Kong and Dubai labs, in response to the steep tariffs the United States imposed effective today.

Last week, after the duties were announced, GIA told overseas clients they should not send diamonds or gemstones directly to its labs in New York City and Carlsbad, Calif.

GIA senior vice president and COO Pritesh Patel has clarified that overseas companies are free to send stones to GIA’s U.S. labs but they will have to pay any applicable tariffs—now set at 26% for goods originating in India. The United States defines a stone’s country of origin as where it underwent “substantial transformation”—in this case, that means where it was cut.

Update: As this story went to press, President Trump paused the 26% tariff on Indian imports for 90 days. Indian imports now incur a 10% tariff.

“Our current position is, clients anywhere in the world can submit items for services to our labs in Carlsbad or New York City,” Patel tells JCK. “They are subject to the recently announced tariffs, which, per our client agreement, they are responsible for.”

He says that GIA clients who don’t want to pay the tariffs can submit stones to its labs in Hong Kong and Dubai.

GIA’s Hong Kong facility is temporarily offering services for D-Z rough and polished diamonds of any size, as well as fancy colored diamonds. (Prior to last week, submissions to the Hong Kong lab were capped at 3.99 cts.) The Dubai lab is now grading and examining D-Z rough and polished diamonds up to 9.99 cts.

On a recent Jewelers Vigilance Committee webinar, trade lawyer Peter Klestadt suggested that goods that are graded—but not sold—in the United States might be eligible for the temporary importation under bond (TIB) program, which exempts goods from tariffs if they are in the country for a limited time.

“We know TIB could be potentially utilized for our process,” says Patel. “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 adds. “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.”

GIA’s laboratories in Hong Kong, Bangkok, and Tokyo will continue to provide services for colored stones and pearls, and the GIA lab in Mumbai will still offer pearl services.

(Photo courtesy of GIA)