The Chinese art market experienced a 31% year-on-year decline in sales to $8.4 billion in 2024, its lowest level since 2009, according to the latest Art Basel and UBS Art Market Report. The downturn is attributed to slower economic growth, a property market slump, and broader economic uncertainties. However, other Asia Pacific markets showed resilience: Japan saw a 2% increase in sales, Australia's dealer market grew 11%, and China remains the second-largest auction market for postwar and contemporary art. Dealer sentiment is improving, with half expecting stronger sales in 2025.
This matters because the report highlights a shift in the global art market's center of gravity, with intra-Asian collecting strengthening amid U.S. tariff tensions that are effectively a U.S. trade war, not a global one. Collectors in Asia are increasingly driven by passion and cultural meaning rather than financial returns, with only 16% in Japan, 19% in Indonesia, and 20% in Hong Kong citing financial factors as their main motivation. The trend toward more thoughtful, research-driven purchasing at the high end, coupled with growing interest in Southeast Asian art and younger collectors engaging with new platforms, signals a maturing market that values cultural expression over speculation.