The auction houses hold sales of Russian art in June and November in a period known as “Russian Art Week”, attracting wealthy Russian buyers.
Sotheby’s has called off its sale of Russian art in London in June, saying it is “absolutely rigorous about following the present sanctions, and are monitoring closely for any updates to the lists”.
Christie’s also said it had cancelled its June sale of Russian art, citing factors including the uncertainty of the war, and complex logistical and legal requirements related to sanctions. It added it is doing “enhanced due diligence” on politically exposed people and those with a connection to sanctioned jurisdictions.
Bonhams, meanwhile, did not provide a reason for its decision.
Despite these measures, some dealers and advisers say the international art market as a whole is unlikely to take a hit, as Russian buyer numbers have fallen since the 2008 financial crash and represent a small part of the market.
Sales of Russian works of art totalled £37.7 million pounds (RM208 million) at Sotheby’s and Christie’s salerooms in London last year, less than 1% of the turnover, according to Art Market Research.
Sotheby’s and Christie’s did not immediately confirm the figure.
Deals off
But while the auction houses face little financial impact, doing business has been made trickier for collectors of Russian art – as well as those who work with them on deals – because of fears of accidentally transacting with Russians who may end up on sanctions lists, say art market advisers.
“It makes it harder for the Russians and for the buyers as well, because you don’t want to be caught buying something coming from a Russian at this point,” said Barbara Guggenheim, a partner at United States-based art consultancy Guggenheim Asher Associates.
New York art lawyer Thomas Danziger said he was advising clients to be wary of doing deals with Russians who might land on the sanctions list in future.
“We advised one client who was considering making a loan to a Russian museum to step away from the table,” he said.
He said he was worried the artwork might get stuck there: “As western sanctions multiply, we thought there was a real risk that the client’s artwork might make a one way trip to Russia and end up being expropriated by the government there.”
Reuters has not identified any incidents of this occurring.
‘Keeping their heads down’
Some Russian art collectors and oligarchs are already keeping a low profile in order to not draw attention to themselves.
“There’ll always be a market for strong pieces, so that hasn’t changed; but the collectors that I know – some of whom are in Russia and some in the west – are just keeping their heads down,” said James Butterwick, a dealer of Ukrainian and Russian art in London who has repositioned his business to focus more on Ukraine in recent years.
“I asked some Russians for loans, for exhibitions next year, and they were very happy to give them, just anonymously.”
A London spokesperson for Phillips auction house said while it does not hold a Russia-specific sale, it had stepped up its due diligence: “We are on high alert all the time, and right now we are, of course, being extra vigilant.”