On 17 August, Singamas, the fourth-largest container manufacturer in the world, announced that it had been forced to intermittently close its factories due to a sharp decline in demand for new containers during the first half of 2023.

A report by Container News highlighted that the company's revenues dropped during the first six months of 2023 by a staggering 60% year-on-year, reaching only $189 million. Concurrently, the net profit also experienced a substantial 74% decrease, falling to $11.6 million.

Further, during the first quarter, sales of dry containers plummeted by 65% year-on-year, amounting to a mere 49,000 TEU sold, a significant decrease from the 142,000 TEU in the first half of 2022.

Singamas' Chairman and CEO, Teo Siong Seng, explained, "In order to better control costs, the group elected to temporarily close some of its dry freight container facilities during the review period."

Singamas is a subsidiary of Singapore-based liner operator Pacific International Lines (PIL), which also suffered a revenue drop this year due to weak demand. Consequently, the container industry has shifted from the pandemic-induced boom to a state of oversupply, with container freight demand returning to pre-COVID 19 levels.