Auction data released on Monday revealed a significant decline in the global art market, with the total value of art sold dropping by a third in 2024 compared to the previous year. The Chinese art market saw the steepest decline, plummeting by 63%. According to Artprice, a French consultancy that tracks auction data worldwide, the value of art sold last year fell to $9.9 billion (9.1 billion euros), the lowest level since 2009.
Key art markets saw notable decreases: New York’s market fell by 29%, London’s by 28%, and Paris by 21%. This shift is attributed to global economic uncertainty, prompting collectors to become more cautious. The Chinese market dropped sharply, from $4.9 billion in 2023 to just $1.8 billion in 2024, reflecting the fragility of the world’s second-largest economy.
Artprice founder Thierry Ehrmann noted that major collectors have become hesitant, even with high-profile artists like Mark Rothko, Jasper Johns, and Jean-Michel Basquiat. Sales of Pablo Picasso works, a key market indicator, totaled $223 million in 2024, about a third of the $597 million in 2023.
The once-vibrant art auction market, driven by speculators, has seen a downturn since 2021. This has led some high-end sellers to delay or cancel sales, resulting in fewer works available for auction. Sotheby’s, a leading auction house, laid off 100 employees in December, or about 6% of its global workforce.
Experts point to factors like the ongoing wars in Ukraine and Gaza, global elections, and rising interest rates as contributors to the downturn. Additionally, China’s economic slowdown, exacerbated by a real estate crisis and tariffs, has impacted the global art market.
For wealthy buyers, art is often the first luxury item to be cut back during times of economic strain, according to Lindsay Dewar of the London-based ArtTactic consultancy. However, Dewar suggests there are reasons for optimism, as the overall number of auction sales rose by 5% last year, with sales in the lower market ($50,000 or less) showing robust growth.
Notably, some works have still performed exceptionally well. A René Magritte painting sold for a record $121 million in November, far surpassing its estimated price of $95 million. Furthermore, an AI-powered portrait of Alan Turing, the renowned mathematician, raised $1 million at Sotheby’s, ten times its expected value.
Upcoming major auctions, including works from the estate of banker Thomas A. Saunders at Sotheby’s and a collection from book mogul Leonard Riggio at Christie’s, may provide further insight into the market’s health at the high end.
AFP
