The case

If there is a new wave of Americans moving to Europe this begs the question about what consequences this would have on the art world.

Source: SwissInfo

The commentary

Switzerland’s art scene, however top notch it may be, is not immune to the political upheaval to be expected in Washington.

Trump announced that he would impose high custom duties even on long-standing partner states such as Canada, Mexico and the EU, measures that are going to have a direct impact on the prices for art works, their transport and insurance fees. Higher custom duties will also affect galleries that make the majority of their purchases on the US market, where 43 % of the world’s total turnover is made, making it the biggest marketplace in the art world. If foreign countries, particularly the EU, levied custom duties directed at the USA, this would be bound to impact the competitiveness of American art galleries.

In addition to this, global trade wars and tariff wars entail political instability, which in turn negatively affect the art market because in times like these collectors tend to shy away from investing in art and seek for less risky alternatives instead.

China as the second biggest marketplace in the art world (with a trade volume that is similar to the one of the UK) may not be in a position to compensate losses made in the USA, one of the main reasons being that Chinese collectors and museums tend to opt for Chinese art. This is why the UK might grab the chance to try and strengthen their position in the art world. Switzerland may want to jump on this bandwagon as neither the UK nor Switzerland are members of the EU, which puts them in a comfortable position for bilateral agreements.