Signs of recovery in Hong Kong

Viewed from China, the war in the Middle East seems far away. Although China is dependent on Iranian oil, in fact, there are still no significant consequences on people's habits and consumption, so that even in the corridors of the Art Basel Hong Kong fair, running until tomorrow, the effects have not yet been felt. On the contrary, there is an air of recovery compared to the slowdown of the last two years, in line with a trend that has become apparent globally already in the second half of 2025. It is true that Art Basel Hong Kong is a "slow" fair, like all fairs, in which collectors and buyers reflect, study, and have to get to know the gallery (the Italian gallerists who have been attending it for years are well aware of this), so the balance will be drawn at the end, but already in the first few hours there were positive signs. The operators have enjoyed conversations with a level audience and have also sold. "In the lower price bracket, in which we operate, the crisis is not felt," commented Simon Wang of Antenna Space in Shanghai, who just recently opened a permanent space in Hong Kong, driven by two reasons: the censorship encountered by some of his artists in Mainland China and the difficulties in imports.

Art Basel Hong Kong. Courtesy Art Basel

Italy's Enrico Polato, founder of Capsule Shanghai, also opened a pop-up in Hong Kong during the fair, in the vibrant Wong Chuk Hang district in the south of the island, where the most interesting spaces are concentrated. 'I am amazed by the market response,' he commented, 'there is a good energy'. At the fair, he is present in the new Echoes section, created for fresh works by up to three artists, with a stand shared with Berlin gallery Klemm's with Leelee Chang, Elizabeth Jaeger and Yan Xinyue (stand prices $6-30,000).

But even at the high end of the market there were surprises. "In the first hour of opening to VIPs, some 10 to 20 million were invoiced with four or five works alone," commented Vincenzo de Bellis, Chief Artistic Officer and Global Director of Fairs, "including a $4.5 million Calder sculpture from Pace, a $5 million Agnes Martin painting, a $2.8 million Picabia. We sense an upturn, but remain cautious. Certainly Hong Kong is the place where all of Asia converges. We also confirm our commitment to the Middle East, we will see how the situation develops.

Yan Xinyue, «The answer is blowing in the wind #3», 2026, olio su tela, 106 x 142 cm. Courtesy Capsule Shanghai

The visitors present for Art Week are not only Chinese, albeit in the majority. They come from Japan, Korea and Southeast Asia, which has grown a lot, with Singapore, Malaysia, Indonesia, Thailand. Many are building museums in the region, such as the collector Marcus Tan in Kuala Lumpur, or the Ayala Foundation in Manila. "I first noticed a slight reticence," commented Alicia Ong, a Singaporean art advisor with a background in finance. "Some Europeans skipped the fair and the uncertainty affected some buyers. However, the energy increased during the first two hours, supported by a young audience. Quality and rare works by leading names were reserved or sold. The mega galleries recorded good attendance. The widespread attitude is 'let's wait and see'". "On the first day of opening, the energy was felt," commented Kyoko Tamura, a Japanese collector, "people are still buying, just more slowly and with more caution. Prices for young artists seem a bit inflated, so serious collectors with bigger budgets are turning to blue-chip names for security and stability. They wonder if it is a lasting value or just a seasonal trend, which gallery the artist is supported by, who else is buying. For Japanese and Koreans, purchasing power is also somewhat influenced by their weak currencies."

A certain market activity was also noticeable just by looking at the logistics: "This year we noticed that the galleries brought in larger works," commented Lewis Cheng, founder of the art storage Eythos, "they are ready to take more risks, even introducing novelties. And then we get more requests for stand replacements: at five o'clock in the afternoon on the first day of the fair we were already full with bookings for changes for the next day'.