While opinions vary on whether now is the right time to buy or sell art, there may be some clarity on the best location in which to do so. The art market in Hong Kong and mainland China is outperforming other regions, and significantly for its future buoyancy, is diversifying to embrace younger collectors.

Two recently published reports highlight the mixed fortunes of players in the art world. The Art Basel and UBS Global Art Market Report 2025 points to a 12% decrease in global art market sales amid a challenging economic environment. Research indicates a more reserved buying and selling environment at the high end of the market, but more positively the broader landscape remains dynamic. Resilience in lower-priced segments is fostering a more diverse market ecosystem. 

On a regional level, indicators for the Asian art scene are encouraging. The newly launched Mishcon de Reya x ArtTactic – China Art Market Report 2025 speaks of a “transformative” period for the art market here, as Hong Kong and mainland China become established as a prominent global art centre. It reveals that the global market share for sales of Modern and Contemporary Art in China including Hong Kong has doubled over the last decade, solidifying the country’s position as a key art hub. Having leapt from 7% market share in 2015 to 14% last year, China is now the third-largest art market globally. Furthermore, Hong Kong’s growth rate as an auction centre for Modern and Contemporary Art over the past 10 years has surpassed that of its rivals, New York and London.       

Asian appreciation

He is also optimistic that the wider Asia region will continue to enjoy a higher share of art sales in the foreseeable future. “Asia is likely to continue to be the fastest-growing region in the world and continue to be a magnet for international capital,” he says. “These factors will inevitably lead to further growth in the art market through Asia.” 

China rising

Asians have dominated the lists of top 10 artists selling for over US$1 million in the last decade, especially Chinese émigrés and Japanese artists. This high standing is driven by global recognition through museum exhibitions and strong auction results in the key markets of New York, London, Paris and Hong Kong, reveals Karas. Their appeal to both international and Asian collectors has reinforced their prominence at the top of the market.

However, she issued a word of warning: “Let’s be real: this is a challenging time for Chinese artists on the global stage. We’re facing Trump-era tariffs and a climate that complicates the promotion of Chinese art.”

Demand for diversity

Dawn Zhu, Director for Asia at international gallery Thaddaeus Ropac, noted that those who once focused primarily on Chinese or Asian contemporary art are increasingly interested in Western contemporary art, reflecting a quest to diversify collections. The gallery, which had one of its best years at Art Basel Hong Kong, showed high-quality works spanning established names and younger artists, aiming to respond to the varied interests of collectors in Hong Kong and Southeast Asia.

Commenting on the growth in demand for art in Asia, Zhu says: “The region’s expanding collector base and institutional infrastructure are signs that this trajectory might continue, although there are many other geopolitical and economic factors that will influence this and other global markets.”

Young at art 

The shift to youth noted by these gallerists is borne out by the China Art Market Report. Its research shows that nearly 40% of bidders and buyers in Asia are from the Millennial and Gen Z age groups, whose growing interest in art equates to a form of personal expression as well as an investment. “The auction market is increasingly driven by a younger demographic, which should secure its future growth and longevity,” says Karas. “As the global wealth transfer accelerates, this demographic is set to play a pivotal role in driving demand and market dynamics.”

Affordable icons

The report also highlights a notable increase in sales volume over 2023 and 2024 in the sub-US$50,000 sector, where young contemporary artists represent 26.9% of lots sold. “The interest in younger artists is a likely reflection of more demand from NextGen collectors who are collecting artists from their generation,” adds Karas.

Renowned Asian artists such as Zao Wou-Ki and Sanyu, as well as international icons such as Pablo Picasso, also featured in auction sales at the lower end of the market. “It’s important for new and younger collectors to understand that the global art market and established (blue-chip) artists are accessible through multiple price points, from multimillion-dollar artworks to affordable options such as works on paper or limited editions and prints,” says Karas. 

Women artists on the verge

Diversification, which is a key catalyst for growth in the Hong Kong and Mainland China Modern and Contemporary Art market, extends to an increasing demand for works by women artists. At auction in Hong Kong, the number of women artists featured has tripled in the past six years, from 79 in 2019 to 231 in 2024. As Karas notes, there has been a significant global shift – including in Asia – towards greater inclusivity and gender diversity in the art market and the broader art world.

Furthermore, Asian and Chinese artists dominate this emerging section of the Hong Kong and mainland China market, with seven out of the top 10 women artists by sales value hailing from the region. “The rising stocks of women artists from Asia could be at least partially owed to the trend of museums hosting retrospective shows on women artists from the region,” explains Karas. “Examples include the Yayoi Kusama show at M+ in 2022-23, and two at London’s Tate Modern – Anicka Yi in 2021-22, and Yoko Ono in 2024.” Karas also reveals a broader trend of expanding art markets throughout Asia, reflected in the development of new art infrastructure and events in other cities in China and in South Asia, and driven by economic growth, wealth accumulation and a new generation of collectors.