The portable storage containers industry continues to feel the impact of increasing demand on the units. Domestic demand in the United States is increasing. This is a result of growing demand internationally as shipping and commerce pickup around the world.
News articles are pointing to a paradox to show the situation. They note that there are so many portable units available in the world that they could circle the globe over 4 times. But the demand exceeds the supply since producers slowed production during the recession. Now that the demand is back, units are in shorter supply both for renting for storage and for shipping.
The US industry will continue to see scarcity and higher pricing, especially on sales. Those who do have the supply will look to leasing those storage containers versus selling them.
It is also worth noting that to some degree, the practice of using units for housing is also keeping demand high. Many contractors are now looking to use the units for modular housing projects and this does mean there are more purchasers in the market.
It is hard to say where the market is going from here but we do not see any reason to believe that the demand will quickly fall or that the supply will quickly rise in the short-term. The industry is certainly driven by pure supply and demand so adjustments will be made. However, if you are waiting for prices to come down, you may be waiting longer than you’d like.