Pandora Adds Carbon Footprint Labels to Lab-Grown Diamonds as Jewellery Transparency Gains Momentum

Pandora says its lab-grown diamonds are grown, cut and polished using 100% renewable electricity. The stones are also set in jewellery made with 100% recycled silver and gold, aligning the labelling initiative with the company’s wider shift away from mined diamonds and newly mined precious metals.

The company stopped using mined diamonds in 2021 and has since focused its diamond offer on lab-grown alternatives. It has also completed its transition to recycled silver and gold across its jewellery production. Pandora has previously said that using recycled precious metals instead of newly mined silver and gold helps avoid around 58,000 tonnes of CO2 emissions each year.

The new carbon footprint information is particularly relevant because lab-grown diamonds are often marketed as lower-impact alternatives to mined stones, but their actual footprint can vary significantly. The climate impact depends on electricity sources, production methods, supply chain location and polishing practices.

Diamond growth can be energy-intensive. When production relies on fossil fuel-based electricity, the emissions profile can be higher than consumers may expect. When production is powered by renewable electricity, as Pandora says is the case for its lab-grown diamonds, the carbon footprint can be substantially lower.

Why the Carbon Footprint Figure Matters

Pandora’s labelling is intended to make the emissions profile of its own products more visible. The company has said a one-carat Pandora lab-grown diamond has a carbon footprint of 12.58 kilograms of CO2e, around 90% lower than a mined diamond of the same size.

For sustainability and net-zero professionals, the development matters less as a single jewellery-sector initiative and more as a signal of where consumer product transparency is heading. Product-level carbon data is increasingly being used to support purchasing decisions, substantiate sustainability claims and reduce the risk of vague environmental marketing.

In sectors from food and apparel to electronics and building materials, companies are under growing pressure to quantify product impacts rather than rely on broad claims such as “green,” “ethical”, or “sustainable.” Jewellery is now moving in the same direction.

A Sector with Complex Supply Chains

Jewellery presents particular sustainability challenges. Supply chains can involve mining, refining, cutting, polishing, manufacturing, transport and retail distribution across multiple countries. Precious metals and gemstones also carry environmental, social and governance risks, including land disturbance, water use, energy consumption, worker safety and traceability concerns.

Lab-grown diamonds remove the need for diamond mining, but they do not eliminate environmental impact entirely. Their sustainability profile depends on the energy and materials used in production. The use of renewable electricity and recycled metals is therefore central to the credibility of Pandora’s labelling approach.

A carbon footprint figure without clear boundaries and a sourcing context can be difficult to interpret. Customers, regulators and sustainability analysts increasingly expect companies to explain what is included in a calculation, whether the data covers cradle-to-gate or full life cycle impacts, and whether a third-party assessment has been used.

From Sustainability Reports to Product Pages

Pandora has previously published carbon footprint information for its lab-grown diamond jewellery, including life cycle assessment materials covering selected products. The latest move takes that information closer to the point of sale by integrating emissions data into customer-facing product information.

This reflects a broader shift in sustainable retail. Climate information is moving from annual reports and corporate sustainability pages into individual product listings, labels and buying tools. For consumers, this can make sustainability information easier to access. For companies, it increases the need for clear, consistent and defensible data.

The decision also comes at a time when sustainability claims in the jewellery industry are receiving greater scrutiny. Lab-grown diamonds are often positioned as environmentally preferable, but comparisons with mined diamonds can be complex. Mining has significant environmental and social impacts, but it also supports livelihoods in diamond-producing regions. Lab-grown production can reduce some impacts, but its benefits are strongest when powered by low-carbon energy and supported by transparent sourcing.

Implications for Jewellery Brands and Retailers

For Pandora, the labelling initiative could strengthen customer trust and differentiate its lab-grown diamond collections in a competitive market. The company is one of the world’s largest jewellery brands, giving its actions potential influence beyond its own stores.

If consumers respond positively, carbon footprint labels may become more common across jewellery retail, particularly among brands selling lab-grown stones, recycled metals or traceable materials. Other companies may face pressure to provide similar information or explain why comparable data is not available.

The move may also raise expectations for methodological consistency. As more companies disclose product-level emissions, comparability becomes important. Different assumptions, system boundaries and data sources can produce different results, even for similar products.

For customers, a single number is useful only if it is supported by a transparent methodology. For businesses, this means carbon labelling must be treated as part of a wider measurement and verification process, not simply as a marketing tool.

Transparency Becomes a Competitive Factor

Pandora’s announcement highlights how climate disclosure is beginning to reshape consumer-facing sectors. Product-level emissions data can support better-informed purchasing decisions, but it can also expose companies to greater scrutiny if claims are unclear or unsupported.

For the jewellery sector, carbon footprint labelling will not answer every sustainability question. Issues such as labour standards, biodiversity, water use, chemical inputs, circularity and social value remain important. However, the addition of emissions data to lab-grown diamonds marks a practical step toward more transparent product communication.

As regulators and consumers demand stronger evidence behind environmental claims, brands that provide clear, product-specific data may be better positioned than those relying on general sustainability messaging. Pandora’s carbon labels show how climate disclosure is beginning to reshape even highly aesthetic and emotionally driven markets such as jewellery, where purchasing decisions have traditionally focused on design, sentiment and price.

Source: www.esgdive.com