Luxury market growth, highlighted by McKinsey report, presents opportunities for jewelry and gemstones
According to McKinsey’s State of Luxury: Fashion report, the global luxury market is expected to continue growing at a rate of 1% to 3% per year until 2027. In the United States, the sector’s growth is projected to be even stronger, with an estimated increase of 4% to 6% between 2025 and 2027, surpassing China’s (3% to 5%) and Europe’s (2% to 4%) performance.
Given this outlook, companies participating in Precious Brazil—a project by the Brazilian Gems and Jewellery Trade Association (IBGM) in partnership with the Brazilian Trade and Investment Promotion Agency (ApexBrasil), which aims to promote Brazilian companies abroad—are sharing their strategies for 2025.
“We believe that the projected 1% to 3% annual growth until 2027 reflects a continued demand for exclusivity, quality, and innovation in the sector. In our view, brands will need to increasingly invest in differentiation, sustainability, and personalized experiences to keep pace with this evolution.
Additionally, digitalization and strengthening e-commerce presence remain essential factors for boosting sales and engaging high-end consumers. The emphasis on sustainable practices and transparency in the production chain is also becoming a crucial competitive advantage for luxury brands,” says Luiz Azevedo from Cruzeiro Mine.
Patricia Murad, from the Andrea Murad brand, takes a more cautious stance regarding growth but expresses “great expectations for the international market,” with a particular interest in the United States.
According to the report, among luxury categories, the combined segment of jewelry and leather goods is expected to lead growth, with projections of 4% to 6% for the same period.
Sustainability and exclusivity as pillars of luxury
The State of Luxury: Fashion report also highlights the growing preference for ethical and traceable products, reflecting an increasing demand for sustainable practices in the jewelry and gemstone sector. This trend, combined with the search for exclusive, high-quality pieces, reinforces the role of jewelry as a key player in the luxury market. Moreover, the desire for authenticity and storytelling has fueled the resale market for luxury goods, including vintage jewelry and second-hand gemstones.
However, the report warns of the need for reliable platforms that ensure the authenticity of these items, as 20% of resale-related discussions still revolve around concerns regarding their legitimacy. The appreciation for unique pieces and the appeal of vintage luxury present an opportunity for the jewelry market to invest in solutions that address this demand.
Growth in emerging markets and the expansion of luxury
Geographically, Japan, the Middle East, and India are emerging as key regions for luxury expansion in 2025. India, in particular, is expected to experience the highest growth, ranging between 15% and 20%, offering new opportunities for brands looking to tap into emerging markets.
Consumer behavior shifts and luxury trends
While ultra-high-net-worth individuals (UHNWIs) will continue to account for a significant share of luxury spending, the report indicates a shift in consumption habits among this audience. They are now prioritizing experiences, such as travel and hospitality, over personal goods. This transformation underscores the importance of creating jewelry that tells a story and delivers personalized, memorable shopping experiences.
Additionally, the constant demand for novelty and faster trend cycles challenges brands to meet evolving consumer expectations without compromising their identity. Transparency in sourcing and production will also be a key competitive advantage, especially in the jewelry and gemstone sector, where sustainability and environmental responsibility are becoming increasingly relevant.
About ApexBrasil
The Brazilian Trade and Investment Promotion Agency (ApexBrasil) works to promote Brazilian products and services abroad and attract foreign investment to strategic sectors of the Brazilian economy. In order to achieve its goals, ApexBrasil carries out several trade promotion initiatives aimed at promoting Brazilian products and services abroad, such as prospective and trade missions, business rounds, support to the participation of Brazilian companies in major international fairs, visits of foreign buyers and opinion makers to learn about the Brazilian productive structure, among other business platforms that also aim at strengthening the Brazil brand. The Agency also acts in a coordinated way with public and private players to attract foreign direct investment (FDI) to Brazil with a focus on strategic sectors for the development of the competitiveness of Brazilian companies and the country.
About IBGM
The Brazilian Gems and Jewellery Trade Association is a national, non-profit private entity founded in 1977. Its mission is to represent, integrate, develop, and promote all segments of the gem, jewelry, and fashion jewelry chain. The association works as an advocate for their interests and by promoting knowledge transfer, trust, and appreciation of their products among consumers.
About Precious Brazil
The Industry Sector Project Precious Brazil aims to support and promote Brazilian companies in the Minerals, gemstones, jewelry, and fashion accessories segments that seek to export their products, whether they are beginners, exporters, or already internationalized. Coordinated by IBGM – The Brazilian Gems and Jewellery Trade Association in partnership with ApexBrasil – Brazilian Trade and Investment Promotion Agency – the project currently serves approximately 150 companies in the industry.
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