Shanghai launches new jewelry fashion zone

Shanghai is cementing its status as a global hub for the jewelry industry, according to Gaetano Cavalieri, president of the World Jewelry Confederation (CIBJO).

"Shanghai is one of the top centers in the world for business. It takes a lead position and sets an example not only in the jewelry industry but across various sectors," Cavalieri told Shanghai Daily in an interview on Friday.

Founded in 1926, CIBJO is the world's oldest international jewelry organization, representing the industry from mine to market across 40 countries and regions.

His remarks came as the city launched the Shanghai International Jewelry Fashion Functional Zone in downtown Huangpu District, a key move to strengthen its role in the global jewelry trade. The launch coincided with the start of the 2025 Shanghai Diamond & Gems Cultural Festival.

The new zone covers more than four square kilometers, equivalent to over 550 standard football pitches, centered on the historic Yuyuan Garden Malls.

It will bring together major retail, trade, design, testing and cultural resources. The district government introduced a three-year plan on Friday outlining development actions and measures to transform the area into a world-class jewelry industry cluster by 2035.

Shanghai's jewelry sector is among the largest in China. In 2024, the city's retail sales of gold, silver, and gemstones reached around a fifth of the city's market.

More than 400 jewelry businesses operate in the zone, including flagship stores of brands Lao Feng Xiang, Chow Tai Fook and Tiffany & Co.

It also hosts China's only state-approved gold-trading platform – the Shanghai Gold Exchange – and top certification and training institutions such as the International Gemological Institute (IGI).

Cavalieri compared Shanghai to other global financial and fashion capitals such as Paris, Milan, London and New York.

"Shanghai is considered one of the capitals of the world in business. The difference is only geographical," he said.

The development plan aims to attract international jewelry headquarters, incubate original brands, support new designers, and strengthen infrastructure and digital services.

By 2030, the city expects the zone to reach 100 billion yuan in annual gold and jewelry sales and over 10 billion yuan in retail volume.

To meet the goals, local authorities introduced a package of financial incentives. They include up to five million yuan in subsidy for global institutions, a million yuan for design studios, and three million yuan for livestreaming and e-commerce platforms.

Cavalieri said the initiative reflects Shanghai's forward-looking business environment.

"The government provides essential tools and takes proactive steps. There is a high professional standard and a clear vision guiding the development," he said.

Cavalieri said CIBJO will keep supporting the industry's growth in Shanghai. "It's flourishing, and we're proud to be part of its development," he said.

The 2025 Diamond & Gems Cultural Festival will feature 43 events across seven districts through June. Activities will include exhibitions, promotions, brand launches and forums to boost visibility and sales.