Global supply shifts reshape industries from diamonds to semiconductors
The global supply landscape is undergoing significant shifts, creating both challenges and opportunities across industries. The diamond market, for instance, is facing a supply crunch as major mines close, including Canada’s Diavik and Ekati operations, along with De Beers’ potential shutdown of Gahcho Kué by 2028. Despite these closures, diamond prices have not surged due to weak demand in China and competition from lab-grown alternatives. Analysts predict global mined production could drop below 95 million carats by 2026, the lowest in 40 years, but sustained recovery remains uncertain.
In contrast, the semiconductor industry is experiencing a boom driven by AI infrastructure, with Samsung expecting chip shortages to persist through 2028. The company has secured multiyear supply agreements with major data-center operators to ensure availability and pricing stability. This scarcity is not limited to tech, as semiconductors are vital for cars, medical equipment, and consumer electronics, potentially causing widespread production bottlenecks.
The International Energy Agency highlights another layer of the supply challenge: refining capacity. Prices for aluminum, copper, and tin rose by about one-third between January 2025 and April 2026, partly due to concentrated refining operations. China dominates refining for many minerals, while Indonesia plays a key role in nickel. Export restrictions have further complicated supply chains, with the number of mineral tariff codes subject to Chinese export controls tripling since 2023.
Companies are now focusing on regional sourcing, long-term contracts, and supply-chain mapping to mitigate risks. The distinction between scarce, replaceable, and irreplaceable inputs is becoming crucial. While some shortages may eventually balance oversupplied markets, others could force significant changes in product design or procurement strategies.