Core Viewpoint - The recent tax adjustments on gold and diamonds have led to increased costs for "gold-inlaid diamond" products, prompting retailers to shift towards silver alternatives and adjust pricing strategies to maintain consumer interest [1][5][12]. Group 1: Tax Policy Impact - The new tax policy, effective from November 1, 2025, imposes a 13% VAT on both rough and finished diamonds, a significant increase from the previous zero tax rate for rough diamonds and 4% for finished diamonds [11][12]. - The gold tax policy will also be implemented from November 1, 2025, until December 31, 2027, with tax benefits retained only for members of the Shanghai Gold Exchange and Shanghai Futures Exchange, affecting ordinary retailers [12]. Group 2: Market Adaptation - Retailers are adapting to the increased costs by replacing high-gold-content diamond settings with silver alternatives, indicating a shift in product offerings to maintain sales [5][6]. - Despite the cost increases, consumer demand remains strong for aesthetically pleasing products, with buyers willing to pay a premium for quality and design [6][11]. Group 3: Industry Transformation - The industry is expected to accelerate its transformation in response to the new tax environment, focusing on innovation in design and brand value enhancement to adapt to changing market conditions [1][12]. - The introduction of the GET-Diamonds platform at the expo aims to enhance transparency and efficiency in diamond trading, connecting international suppliers directly with the Chinese market [16][22].