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This move fostered free market activity and flexible economic policies, especially for manufacturing and export.

The province of Guangdong, including Shenzhen and Panyu, has important SEZs for the diamond, gemstone, and jewelry industries.

This requires China to address new challenges, such as sourcing enough gemstones to satisfy import and export demand (figure 2). China’s consumption of gemstones, both for export and the domestic market, has led to supply shortages and intense competition at mining sources and markets worldwide. In 2010, China overtook Japan to become the world’s second-largest economy after the United States (table 1).

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These trends, along with rapid urbanization, a burgeoning middle class, and a younger generation of sophisticated shoppers, signals exciting opportunities for China and the global gem and jewelry industry.

In the wake of its phenomenal economic growth since 1978, China has captured the attention of the global gem and jewelry industry.

Already a global hub for jewelry manufacturing, it is now a rapidly growing consumer market.

They were transferred to China in 19, respectively, under the “one China, two systems” policy.

By virtue of their SAR status, Hong Kong and Macau enjoy a high degree of autonomy.

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