Two Chinese container companies listed in Hong Kong saw their stock prices plunge due to allegations by the US Department of Justice accusing them of colluding to monopolize container production and inflate prices during the COVID-19 pandemic. Singamas Container Holdings Ltd’s stock price fell by 13.6% on Thursday, May 21.
The US Department of Justice announced on Tuesday, May 19, criminal charges against four Chinese shipping container manufacturers and seven Chinese and one Singaporean executives, accusing them of colluding to restrict production and manipulate container prices during the COVID-19 pandemic and global supply chain crisis, leading to astronomical profits.
One of the companies sued is a listed company in Hong Kong, while another is listed in both Hong Kong and Shenzhen. Their stock prices plummeted after the US indictment was announced.
Singamas Container Holdings Ltd, listed in Hong Kong, saw its stock price close at 0.51 Hong Kong dollars on Thursday, with a 13.6% drop. During morning trading on Thursday, it plummeted by more than 20% to 0.46 Hong Kong dollars.
The other listed company, China International Marine Containers (Group) Co., Ltd., listed in both Hong Kong and Shenzhen, witnessed around a 10% drop in stock prices in both markets on Thursday, closing at 8.38 Hong Kong dollars and 10.20 Chinese yuan, respectively. Hong Kong’s market fell by 4.2%, while Shenzhen’s market hit the daily limit down of 10%.
The other two companies named in the indictment are Shanghai Universal Logistics Equipment Co., Ltd. and CXIC Group Containers Co. Ltd., both of which are not listed.
These four companies are the world’s largest dry cargo container manufacturers. The indictment stated that their production nearly accounted for all global standard dry cargo container production. During the pandemic’s fragile supply chain period, by illegally agreeing to limit production and raise prices, the companies saw profits skyrocket. Their main manufacturing bases are in China.
Singamas Container had issued an “Inside Information Announcement” on May 4 on the Hong Kong Stock Exchange, disclosing that an employee (not a director or senior management member) was arrested outside Hong Kong in connection with the US Department of Justice’s investigation. However, the company did not disclose the employee’s name, nationality, or position, only mentioning that legal counsel had been hired and business operations remained normal.
The US Department of Justice’s indictment revealed that Vick Nam Hing Ma, who served as Singamas Container’s Marketing Director, was arrested in France on April 14 and is awaiting extradition to the US.
On Wednesday, May 20, Singamas Container submitted documents to the Hong Kong Stock Exchange, stating that they were consulting legal advisors regarding the matter and assessing potential impacts. The board emphasized that the company’s business and daily operations remain “normal in all significant aspects.”
Singamas Container also mentioned that neither the company itself nor the Chairman and CEO Teo Siong Seng had received any legal procedures or documents related to the case from Washington.
China International Marine Containers (Group) Co., Ltd. expressed high importance regarding the case and pledged to “closely monitor and actively respond.” The company’s 67-year-old Chairman Mai Boliang, 62-year-old Vice President Huang Tianhua, and 47-year-old General Manager Yongbo Wan were all indicted by the US Department of Justice. The company stated that relevant individuals have not received any legal process notices, and daily operations are normal.
The financial conditions of the two indicted listed companies have deteriorated. Singamas Container’s revenue in 2025 was $481.54 million, a decrease of nearly 60% from 2021, with net profit only one-tenth of 2021 at $17.41 million.
China International Marine Containers (Group) Co., Ltd. saw a 4% decrease in revenue in 2025 compared to the previous year, dropping to 156.61 billion Chinese yuan, while net profit plummeted by 97% from 2021, down to 220.82 million Chinese yuan.