Pandora adds carbon footprint labelling for lab-grown diamonds

Pandora becomes first major jeweller to label diamond carbon footprints

Pandora announced on 6 May 2026 that it will display carbon footprint information for every lab-grown diamond it sells. The Danish jewellery retailer has added what it calls the “5th C” to the traditional diamond grading system. Alongside Cut, Colour, Clarity, and Carat, customers will now see the carbon footprint of each stone.

This makes Pandora the first major diamond jeweller to publish climate impact data at product level. The company stopped using mined diamonds entirely in 2021. Since then, it has sold only lab-grown stones produced using renewable electricity and set in recycled silver and gold.

For UK businesses tracking sustainability trends, this move signals how transparency is becoming a competitive factor in consumer markets. Companies that quantify and communicate their environmental impact gain an advantage as buyers look for credible data rather than general claims.

How Pandora calculated the carbon footprint figures

Pandora commissioned external specialists to conduct life-cycle assessments across the entire production process. The analysis covered raw material production, diamond growing, cutting, and polishing. EY verified the findings to provide independent assurance.

The results show a one-carat Pandora lab-grown diamond generates 12.58 kg of CO₂ equivalent emissions. By comparison, a mined diamond of the same size produces around 90% more emissions. Pandora references a 2019 study by the Diamond Producers Association (now the Natural Diamond Council) for this comparison figure.

When the diamond is set into jewellery, the total footprint rises. For example, the company’s Infinite ring, made from 14k gold with a one-carat diamond, carries a footprint of approximately 11.4 kg CO₂e. That is roughly equivalent to manufacturing a pair of jeans.

Lab-grown diamonds are produced through Chemical Vapor Deposition technology. The stones have identical chemical, optical, thermal, and physical properties to mined diamonds. The production method differs fundamentally, however, resulting in substantially lower environmental impact.

What the figures mean for jewellery retailers and suppliers

Pandora’s Q1 2026 earnings report shows lab-grown diamond sales reached 75 million Danish kroner, or about £8.5 million. That represents roughly 1% of the company’s total revenue. Consequently, despite the environmental benefits, consumer uptake remains limited.

Nevertheless, the transparency initiative creates competitive pressure across the sector. Retailers without equivalent data may face questions from environmentally conscious customers. Similarly, suppliers throughout the jewellery chain could see increased demand for verified sustainability information.

CEO Berta de Pablos-Barbier stated during the earnings call that Pandora will share its methodology with other manufacturers. This suggests the company intends to establish an industry standard rather than maintain a proprietary advantage. Therefore, other jewellers may adopt similar labelling approaches in the coming months.

For businesses that supply the jewellery sector, this development has practical implications. Manufacturers may need to gather life-cycle data for their products. Additionally, companies that can demonstrate lower carbon footprints through renewable energy use or efficient processes may gain preferential supplier status.

Carbon labelling appears on product pages alongside traditional grades

The carbon footprint label appears on Pandora.net next to established diamond grading information. This placement makes environmental data as prominent as Cut, Colour, Clarity, and Carat. Customers can therefore compare climate impact directly when choosing between products.

This approach differs from sustainability information tucked away in corporate reports or separate website sections. Instead, the carbon figure becomes part of the core product specification. Consequently, the environmental cost moves from abstract commitment to concrete purchasing criterion.

For UK retailers considering similar transparency measures, this integration method offers a useful model. Product-level data allows customers to make informed choices without requiring them to navigate separate sustainability pages or interpret complex reports.

Why younger buyers are driving demand for climate data

Younger consumers increasingly expect detailed environmental information before making purchases. Vague sustainability claims no longer satisfy this demographic. Instead, they look for quantified data they can understand and compare.

Pandora’s move responds directly to this shift in buyer expectations. By publishing specific carbon figures, the company provides the concrete information these customers demand. Furthermore, the comparison with mined diamonds gives context that helps buyers understand the significance of the numbers.

Research consistently shows that environmental factors influence purchasing decisions, particularly among people under 40. However, the gap between stated preferences and actual buying behaviour remains significant. Pandora’s modest 1% market share for lab-grown diamonds illustrates this disconnect.

Price sensitivity, cultural perceptions about lab-grown stones, and marketing effectiveness all affect whether environmental benefits translate into sales. Even with a 90% carbon reduction, lab-grown diamonds face challenges in displacing traditional mined stones in the market.

Essential facts about Pandora’s carbon labelling programme

• Pandora stopped selling mined diamonds in 2021 and now uses only lab-grown stones produced with renewable electricity.
• A one-carat lab-grown diamond from Pandora generates 12.58 kg CO₂e, approximately 90% less than an equivalent mined diamond.
• The company commissioned external life-cycle assessments verified by EY to ensure credibility of the carbon figures.
• Lab-grown diamond jewellery currently represents about 1% of Pandora’s total sales despite the environmental advantages.
• Pandora will share its carbon calculation methodology with other jewellers to encourage industry-wide adoption of transparent labelling.
• The carbon footprint information appears on product pages alongside traditional diamond grading criteria rather than in separate sustainability sections.

How this affects UK businesses selling to environmentally conscious customers

Pandora’s initiative demonstrates how product-level environmental data is becoming a mainstream expectation rather than a niche concern. Businesses across sectors may face similar pressure to quantify and publish climate impact information. Therefore, companies should consider whether their current sustainability reporting provides the specificity customers increasingly demand.

For manufacturers and retailers, transparent carbon labelling creates both opportunities and obligations. Companies with genuinely lower environmental footprints can differentiate themselves through verified data. Conversely, businesses without this information may find themselves at a disadvantage as competitors publish detailed figures.

The jewellery sector has historically lacked standardised environmental transparency. Consequently, Pandora’s approach could reshape industry norms quickly. Other retailers may adopt similar labelling to remain competitive, creating a new baseline for customer expectations.

UK businesses should also note the verification aspect. Pandora used EY to independently confirm its carbon calculations. This third-party assurance adds credibility that self-reported figures often lack. Therefore, companies considering transparency initiatives should budget for external verification to ensure their claims withstand scrutiny.

Supply chain implications deserve attention as well. As retailers demand carbon data for finished products, suppliers throughout the chain will need to provide figures for their components and processes. Businesses that establish robust carbon accounting now will be better positioned when customer companies request detailed breakdowns.

Practical considerations for businesses adopting carbon labelling

Companies interested in similar transparency should start with comprehensive life-cycle assessments. These studies trace environmental impact from raw material extraction through manufacturing, transport, use, and disposal. The process requires detailed data collection across the entire supply chain.

External verification adds cost but significantly increases credibility. Customers and regulators increasingly expect independent confirmation of environmental claims. Consequently, self-certified data may not provide the competitive advantage businesses seek.

Communication strategy matters as much as measurement. Pandora placed carbon data alongside traditional product specifications, making it integral to the purchasing decision. Businesses should consider where and how they present environmental information to ensure customers actually see and use it.

The comparison aspect also proves valuable. Pandora’s 90% reduction figure gives customers context for understanding the carbon footprint number. Similarly, other businesses might compare their products to industry averages or previous versions to help customers interpret the data.

However, modest sales figures despite clear environmental advantages suggest transparency alone does not guarantee market success. Businesses must address price, quality perceptions, and cultural factors alongside environmental benefits. Therefore, carbon labelling should form part of a broader commercial strategy rather than functioning as the sole selling point.

What transparent carbon labelling means for procurement and tenders

Public sector procurement in the UK increasingly requires suppliers to demonstrate environmental credentials. PPN 06/21 mandates carbon reduction plans for central government contracts above £5 million annually. Similarly, many local authorities and housing associations now include sustainability criteria in tender evaluations.

Product-level carbon data helps suppliers respond to these requirements with specific, verifiable information. Generic corporate sustainability statements carry less weight than detailed footprint figures for individual products or services. Consequently, businesses with robust carbon accounting gain advantages in competitive tender situations.

Private sector supply chains are moving in the same direction. Large corporations face pressure from investors and customers to reduce Scope 3 emissions, which includes purchased goods and services. Therefore, suppliers that can quantify and reduce their carbon footprints become more attractive partners for major buyers.

For UK SMEs, this trend creates both challenges and opportunities. Developing comprehensive carbon data requires investment in assessment and verification. However, companies that make this investment early may secure preferential positions with key customers. Additionally, carbon reporting compliance support can help businesses navigate the technical requirements efficiently.

Where UK businesses can find additional guidance

The UK government provides detailed resources on measuring and reporting carbon emissions. The Department for Energy Security and Net Zero publishes conversion factors for company reporting annually, which businesses can use to calculate emissions across various activities.

The British Standards Institution offers PAS 2050, a specification for assessing life-cycle greenhouse gas emissions of goods and services. This standard provides a recognised methodology that companies can follow to ensure their assessments meet accepted criteria. More information is available through the BSI website.

For businesses seeking to develop carbon reduction strategies alongside transparency measures, structured net-zero programmes can provide frameworks for measurement, target-setting, and implementation. These programmes typically include supply chain engagement, which proves essential when gathering product-level carbon data.

The Environment Agency offers guidance on environmental reporting that covers regulatory requirements and best practices. This resource helps businesses understand what they must report versus what additional transparency might provide competitive advantages.

Industry bodies relevant to specific sectors often provide tailored guidance. For example, CIPS (Chartered Institute of Procurement and Supply) offers resources on sustainable procurement practices that include carbon considerations. Sector-specific trade associations may have developed measurement methodologies appropriate to particular product categories.