Art logistics face crisis as war disrupts routes and sends costs soaring

The ongoing US-Israel tensions with Iran have significantly affected the global transportation of art, leading to increased costs and the closure of certain routes. As of April 2, Brent Crude Futures escalated from $79 to over $109 per barrel since late February, prompting airlines to raise cargo fuel surcharges. Consequently, air freight charges for fine art skyrocketed by 70% to 300%, with surcharges for shipments from Beijing to New York climbing from $1 to over $3 per kilogram. The Strait of Hormuz has been shut down since March 2, and a shipping corridor close to Sri Lanka turned into a conflict zone following an incident on March 4. This disruption has left artworks stranded, impacting exhibitions such as Per Kirkeby's in China, while logistics companies are shifting to more cost-effective rail options. Sea freight prices also increased from $400 to $600, and the industry is feeling the strain, with some clients delaying their projects.