According to the consulting firm Drewry, Chinese manufacturers account for over 95% of the global dry container market and nearly 100% of the refrigerated container market. This dominance is so significant that in May 2026, the US Department of Justice filed a criminal complaint against seven executives and four Chinese container manufacturers on suspicion of creating a price-fixing cartel that approximately doubled prices between 2019 and 2021.
On July 3, 2026, India began challenging this monopoly. Union Minister Sarbananda Sonowal presented the first export-import (EXIM) class container manufactured in India for an international shipping line. This container was made by the DCM Shriram group, which is known for producing fertilizers, sugar, and chemicals, not steel boxes, and is intended for A.P. Moller-Maersk, the world's second-largest shipping company.
Although India previously had container capacities, including the Jupiter Wagons plant in Indore, the significance of this event lies in the fact that the presented container has an EXIM-class certificate and has been accepted into the fleet of a global carrier, which is a much higher requirement than mere domestic use. Following the presentation, Maersk immediately ordered another 1,000 containers manufactured in India, moving the supplier from the prototype stage to the procurement stage.
Maersk also has previous experience in this matter. In September 2021, the company agreed to sell its refrigerated container division, Maersk Container Industry, to CIMC for $987 million. However, this was a withdrawal from production, not an attempt to gain independence. The deal collapsed in August 2022 after the Antitrust Division of the US Department of Justice concluded that it would lead to the consolidation of over 90% of the world's insulated and refrigerated container production in the hands of state-owned or state-controlled entities in China.
China's dominance did not happen by chance; it became part of a recurring trend previously associated with the US, then Japan, and later South Korea, which produced over 70% of global containers in the 1980s. However, China's scale, cheap steel, and state support made competition impossible in other countries. Only CIMC accounts for approximately 42%–45% of global production, while Dong Fang and CXIC account for the rest.
The main obstacle is cost, not physical laws. Producing a 40-foot container in China costs approximately 1.5–2 lakh Indian rupees, whereas in India it costs 3.5–4 lakh rupees. Part of this difference is explained by logistics, as an empty container produced far from the export market requires repositioning. Most of it, however, is related to unit economics: steel prices, line capacity, and the depreciation of plants operating at millions of TEUs per year.
The design of subsidies plays an important role. Under the 2026 Budget, 10,000 crore Indian rupees were allocated for a five-year plan under the Container Manufacturing Assistance Scheme or Container Manufacturing Promotion Scheme. The goal of this program is to increase annual capacity tenfold, to 7.5 lakh TEUs, through capital support for new enterprises, operational support to cover the cost gap, and R&D funding. The basis for these measures was the meeting between Prime Minister Modi and Robert Maersk Uglo from Maersk in February 2025.
India is not the only participant challenging the monopoly. Vietnamese company Hoa Phat built a container manufacturing plant next to its steel mill in Vung Tau and supplied 1,000 twenty-foot containers to CMA CGM in August 2025, operating at 200,000 TEUs per year with a design capacity of 500,000. This shows that the monopoly is challengeable, but challenging it requires access to raw steel, proximity to the export market, and patience.
Containers are such ubiquitous infrastructure that they are often unnoticed, yet they serve as the physical unit by which world trade is measured, valued, and moved. A country unable to produce them independently depends on those who do, including issues with price fixing. While one container will not change China's dominance, the real test will be DCM Shriram's ability to ensure consistent quality at a cost that withstands the removal of subsidies. Nevertheless, this is a real entry into a market where there have been almost no alternatives for more than ten years, reminding us that the most important manufacturing stories are not always linked to flashy products, but sometimes to the creation of the most ordinary box into which everything else is transported.
Amid concerns in the US regarding artificial cybersecurity and limited access to AI models, China is also preparing for major actions (China Big Plan) that could provoke serious global upheaval. According to available information, China is considering imposing bans on the export of AI technologies and semiconductor chips.
If China adopts such measures, it could create a significant crisis for industries including defense manufacturing, automotive, data centers, and electronics. According to a Business Today report, based on Financial Times materials, China is preparing to tighten rules concerning the export of chips and AI technologies.
China aims to keep the most advanced AI technologies exclusively within its borders, viewing them as a strategic national asset. Negotiations are underway with major sector companies such as Alibaba, ByteDance, and Bytedance as part of this process. The Chinese Ministry of Commerce is reportedly discussing security measures with Chinese AI and semiconductor companies. Furthermore, the possibility of prohibiting the transfer of training data outside the country and preventing foreign users from uploading AI models is being discussed. In China's view, this will help reduce the risk of its AI technologies being used or copied by other nations.
Moreover, China may introduce new regulations to prevent foreign chip manufacturers, such as Qualcomm and TSMC, from using Chinese designs when creating chips based on Chinese designs. Thus, the country intends to control its chip developments and keep them domestic.
Although AI export restrictions have not yet been approved, they are expected to be included in China's official list of technologies subject to export bans or limitations. However, it should be noted that China is not the largest player in the production of the most advanced semiconductor chips; leaders in this field are Taiwan, South Korea, and the US. China's main specialization lies in chip packaging and certain specific categories of chips.
It is worth recalling that last week, amid geopolitical tensions, China announced a ban on helium exports (China Helium Export Ban), which shocked the world. China exports 80% of the world's helium, and following this ban, the chip sector was also put at risk. Helium is considered essential for semiconductor factories, and if these restrictions persist, chip manufacturers will face increased costs and supply risks, potentially leading to higher prices for electronics and chip-using goods.
