The Downward Spiral of the Chinese Contemporary Art Market

An untitled painting by Zeng Fanzhi

In recent years the market for Chinese contemporary artists has been hot in the global art market. Many of the top selling Chinese artists were virtually unknown before the Chinese art market boom at high profile auction houses and art fairs. Successful Chinese contemporary artists, such as Zeng Fanzhi, reaped what quick fame and fortune offers to artists who dominate the global art market. Due to global success artists from Shanghai and Beijing have been able to operate large studios in order to create further work. However, success can be fleeting-- these artists are now caught in what has been described as the “downward spiral” of the contemporary Chinese art market.

Galleries and art dealers in Shanghai and Beijing are facing some of the same struggles that galleries in New York City and other hubs of the art world have been challenged by in recent months. At the core of the plight is the ongoing global financial crisis. Art collectors worldwide are not as wealthy as they were just a year ago-- thus, aspects of the art market have been caught in a financial freeze, so to speak. Prices for art have dropped rapidly-- meaning the value for specific artists may be in limbo. In other words, high profile collectors are wary to invest in an uncertain global art market.

Chinese contemporary artists who were steadily patronized over the last few years are now faced with the humble reality that perhaps their art will falter within the global art market. Even the top auction houses, such as Sotheby’s, have been reluctant to spotlight Chinese contemporary art in recent months. This has lead insiders to suggest that the era of high-priced Chinese contemporary art is over. Rumors suggest that the market for Chinese contemporary art may bottom out before the global economy recovers. Thus, the fate of these artists within the global art market is not clear.

The surge in popularity for Chinese contemporary art among wealthy global art collectors-- such as Charles Saatchi-- came without warning. Artprice.com only listed one Chinese artist on their Top 10 best-selling living artists list in 2004. By 2007, 5 of the 10 best-selling living artists at auction were from China according to Artprice.com. The most acclaimed Chinese contemporary artist for that year, Zhang Xiaogang, had total auction sales of over $56 million.

Zhang Xiaogang ranked under Damien Hirst and Gerhard Richter in 2007-- two artists who have long dominated the global art market. The rise of Chinese contemporary art came swift. Unfortunately, the crash of the Chinese contemporary art market in the last year came just as sudden. It begs the question-- will any Chinese contemporary artists remain on the Artprice.com best-selling list of living artists after 2009? Who knows what will happen in this turbulent market.

Some feel that the bust of the Chinese contemporary art market was needed in order to sustain the validity of the market for Chinese contemporary art as a whole. Wealthy art collectors and art dealers, such as Charles Saatchi, had artificially driven up prices by investing heavily in art by Chinese contemporary artists-- according to some insiders. Other high profile art collectors and art dealers followed suit in what I like to call the ‘Keeping up with the Saatchi’s' effect.

A few of these individuals were quick to open galleries in China in order to take advantage of the flow of wealth-- now gallery doors are closing. Needless to say, some individuals feel that the artificial rise of specific artists-- not just Chinese contemporary artists-- within the global art market must come to an end in order for the global art market to have a steady business foundation that places integrity and sustainability above excessive personal gain.

Thus, it is felt that art dealers-- in general-- must take more responsibility within the global art market by helping their represented artists sustain the market for their work in a realistic manner. For example, art collectors/dealers who artificially increase prices may need to be avoided if the global art market is to have a strong foundation. Unfortunately, many artists throughout the world will fall victim due to key art world power players who have already manipulated the market for their own needs. The global art market as we know it will never be the same. Integrity is due.

Link of Interest:

China’s Art Market: Cold or Maybe Hibernating? By David Barboza -- The New York Times
www.nytimes.com/2009/03/11/arts/design/11decl.html?_r=1

Take care, Stay true,

Brian Sherwin
Senior Editor
Myartspace.com
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Damien Hirst Lives Big

Damien Hirst: Show me the money!

While the validity of Damien Hirst’s art can be debated his fortune can’t be denied. The controversial British artist creates art that fetches big money in galleries, at auction, online or anywhere else he decides to sell it. Some critics have went as far as to say that he is a thorn in the side of the traditional brick & mortar art world. Hirst has a brick & mortar space of his own. As with his fortune-- think big.

The controversial British artist purchased a 300 room mansion in Gloucestershire a few years ago with his wife Maia Norman and has been repairing the rundown structure ever since. The structure, known as Toddington Manor, was built in 1820 and had been vacant for over 20 years at the time the couple purchased it. Hirst has stated that the manor will eventually house a collection of his own works that will be open to the public. However, he has went on to say that the project may not be complete by the end of his lifetime.

Regardless of what you think of Hirst one must admit that it is a major accomplishment for an artist to achieve the financial success he has had. After all, at one time he was just another hopeful artist walking the streets of London. Ok, ok... Charles Saatchi played a major role.

Charles Saatchi: Indeed.

Take care, Stay true,

Brian Sherwin

Senior Editor

www.myartspace.com

UK’s National Portrait Gallery wants Marc Quinn’s Blood…

Self (1991) by Marc Quinn, via Culture Loves Us

I learned from ArtObserved that the National Portrait Gallery desires Marc Quinn‘s blood-- or should I say ‘Self‘. White Cube Gallery has offered the most recent version of Self to the National Portrait Gallery for £350,000 even though the open market value for the piece is quoted at £1.5 million. The National Portrait Gallery has been able to secure £150,000 in order to acquire the ‘blood head’. Thus, the National Portrait Gallery will need to come up with £200,000 in order to have Marc Quinn’s blood where they want it. Time is short-- they only have until December 31st to finalize the deal.

Self (1991) is considered to be Quinn’s signature piece. One could say that it launched his rise into the upper levels of the art world. For those who don’t know, Self is a frozen sculpture of the artist's head made from 9.5-- though some sources state 10-- pints of his own blood. Quinn secured the raw material-- in this case his own blood-- from his body over a period of 5 months. The original Self was bought by Charles Saatchi in 1991 for a reputed £13,000.

I realize that I’ve been rather harsh to Marc Quinn lately-- ok, maybe really harsh , but his Self is a piece that I actually admire. In my opinion, Self has a universal appeal that a golden statue of a fading cover girl will never have.

Links of Interest:

National Portrait Gallery criticised over purchase of Marc Quinn’s Blood Head [TimesUK]

National Portrait Gallery Raises Money for Self-Portrait Made From Frozen Blood [ArtInfo]

Museum needs £200,000 for Marc Quinn’s blood portrait [The Art Newspaper]

Take Care, Stay true,

Brian Sherwin
Senior Editor
www.myartspace.com

Charles Saatchi Interviewed by The Guardian

Charles Saatchi, a world famous art collector, was recently interviewed by The Guardian newspaper. Saatchi has made many young artists famous simply by collecting their works. He is one of the biggest names in the 'art world'. The interview offers a great deal of insight into his views about life and art. This was a very rare event since Sattchi is rarely interviewed.The full interview can be seen here.

What do you think about his views on art? What do you think about the power he has in the art world? I want your opinions.

Take care, Stay true,

Brian Sherwin