Israeli Diamond :Chinese Diamond Fever Continues – Rio Tinto to Launch Local Chinese Operation

March 28, 2010 - PRLog -- It seems that British-Australian mining giant Rio Tinto is eying the world’s second largest diamond market – China.  



Rio Tinto will be opening a Hong Kong office, which will join Rio Tinto’s diamonds sales and marketing branches in Belgium, India and the US. The move aims to support the marketing of all rough diamonds from Rio Tinto’s mines.



Rita Maltez has been named head of the Chinese operation. Maltez has been with Rio Tinto since 1999, and has been involved in the development of the company’s emerging markets strategy for diamonds.



“This is a strategic decision that reflects Rio Tinto’s long term commitment to the diamond industry and the important role that China will play in this future. We look forward to fostering new relationships as China’s development continues,” Jean-Marc Lieberherr, the diamond miner’s general manager of diamonds sales and marketing, said.



Rio Tinto stated that the new Hong Kong office will facilitate the development of a market in China for its diamond productions, and customers’ activities.



The astronomical growth China has experienced in the last decade, including during the global financial crisis, has created a new nation of consumption, which is nearing western proportions. With 1.3 billion and counting, the highest number of young millionaires and new companies opening daily, it’s no surprise that many international companies – from everyday fashions to luxury goods – are looking to expand into China.



One of the secrets to succeeding in China is working with local experts who understand the Chinese market, since penetrating it is not as easy in getting into the more developed, western markets. The only exception seems to be Google.



Google’s entry to China was made somewhat late in the game and only after it seemingly took over most of the world. Nevertheless, Google has recently claimed that the Chinese authorities hacked into users’ email accounts in an attempt to follow human rights activists.  Beijing denied any involvement, but Google has already announced that it was reconsidering its Chinese venture. Will Google be the first company to pull out of the Chinese market?



A delegation from the Israel Diamond Institute is scheduled to meet with representatives of the Chinese diamond industry, as part of the HKTDC Hong Kong International Jewellery Show in March.



Two months ago, a Chinese diamond industry delegation visited Israel for a series of meetings meant to cement the cooperation between the Israeli and Chinese diamond industries. The future, they said following the meetings, is looking bright.



The article originally appeared in the IDI Blog




By: Roe Kalb

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The Israeli Diamond Industry organizations
Behind the Israeli Diamond Industry are a group of vital and dynamic institutions. Each one is responsible for a different aspect of the industry’s activities.