Asians accounted for 41 per cent of buyers in the company’s luxury sales in the first half.
The rarer objects sold by the auction house were more likely to exhibit a “de-correlation” to negative macroeconomic events, he maintained.
“What happens in China, consumption is weak . . . [But] is a rare object a way for you to keep your money as opposed to real estate or bonds or stocks? . . . I think so.”
Nonetheless, Asian buyers’ contribution to Christie’s total auction sales fell from 39 per cent in mid-2021, when the company announced its plan to move to the new site, to 21 per cent in the first six months of this year.
The company’s recent sales for 21st century art in Hong Kong fell short of their low estimate, while sales of 20th century art were just in line.
But Belin said only about half of Asian clients’ spending at Christie’s typically occurred in Hong Kong, meaning that there was still untapped demand to bring more sales to the city.
“We have consistently seen Asian collectors be more active overseas . . . than they could be actually in Hong Kong,” he said.
Rival auction group Sotheby’s, which has also struggled with slowing global auction sales and job cuts in recent months, began a foray into Asian retail last month. The two-storey “maison” it opened in a mall in Hong Kong’s Central district will sell rare books, paintings and sculptures ranging from HK$5,000 (US$640) to HK$50mn.
“On the prospects of China ultra-high net worth, we see still at the very top end of the market . . . some very, very high ticket prices from Chinese collectors,” Nathan Drahi, managing director for Sotheby’s Asia, said at the opening, adding that more than a third of buyers at the company’s recent New York auctions came from Asia. “We believe in the long-term prospects . . . of that market.”
But Meg Maggio, a Hong Kong-based art adviser and global managing director of Pearl Lam Galleries, said that while she saw underlying strength in the arts and luxury sectors, the expansion came at a “skittish” time for the market given rising geopolitical uncertainty and “fierce” competition.
“The challenge is: Are there going to be too many auctions and too many auction house activities in Hong Kong? Are they saturating the market?” she asked.
William Langley and Chan Ho-him in Hong Kong © 2024 The Financial Times
This article first appeared in The Financial Times