Auction houses expanding their operations in Hong Kong continue to feel the effects of the global art market slowdown. During the second block of spring auctions in the city, notable sales figures highlight both successes and challenges.
Christie’s, gearing up for its September auctions at its new Asia-Pacific headquarters, sold HK$967 million (US$123.7 million) worth of 20th and 21st-century art during its last sale at the Hong Kong Convention and Exhibition Centre. This represents a decline from previous figures, falling from last autumn’s HK$1.05 billion and 22% less than the HK$1.24 billion achieved in spring 2023. Total sales across all categories between May 25 and June 1 amounted to HK$2.3 billion, compared to HK$3 billion last year.
Phillips, now in its second year at its West Kowloon headquarters, saw a boost from a major consignment—a Jean-Michel Basquiat painting—which contributed to HK$296 million from its modern and contemporary sales. This was a 22% increase over the previous season but still a drop from last spring’s HK$473.3 million. The Basquiat painting, titled “Native Carrying Some Guns, Bibles, Amorites on Safari” (1982), sold for HK$83 million (HK$98.7 million with fees), making it the most valuable lot auctioned in Hong Kong this year, despite falling short of its HK$90 million to HK$100 million estimate.
Phillips’ chairman of Asia, Jonathan Crockett, noted a reduced number of participants in the market, stating that in a stronger economy, there might have been more bidders to drive prices higher. Despite some works selling below estimates, the high sell-through rate of over 90% for both evening and day sales was encouraging.
The demand for 20th-century art was evident at Christie’s, with Sanyu’s “Vase de fleurs” (1931) selling for HK$30 million before fees, above its HK$18 million to HK$28 million estimate. René Magritte’s “L’invitation au voyage” (1944) fetched HK$35 million, within its estimated range. Salvo’s “Una sera” (2004) significantly exceeded its high estimate, selling for HK$2.6 million before fees.
However, not all sales met expectations. Andy Warhol’s “Flowers” (1965) sold for HK$55 million, below its HK$62.8 million to HK$92.8 million estimate. Several works, including those by Matthew Wong and Kaws, were withdrawn, and Bonhams’ May 25 sale saw nearly half of its lots unsold, achieving a low sell-through rate of 55%.
Additionally, Christie’s faced a cyberattack in May, temporarily affecting its website before its New York auctions. A ransomware group claimed responsibility, threatening to release personal data of Christie’s clients, leading to a class-action lawsuit despite Christie’s assurances that no financial or transaction data was compromised.
Sotheby’s, preparing to open a new space in Central in July 2024, also experienced a high number of lot withdrawals and conservative pricing in its spring auctions. As Hong Kong auction houses expand, they navigate a market marked by both impressive highlights and significant challenges.
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