Chart of the Day: This graph spells trouble for industrial landlords in Singapore

It's a tenant's market out there.

Industrial landlords in Singapore will grapple with fragile supply-demand dynamics within the factory and warehouse subsectors, according to a report by RHB Research.

This chart illustrates the persistent weakness in Singapore's manufacturing sector. RHB Research said that this will negatively impact factory rental rates, as sluggish demand would hurt tenants' ability to pay higher rents.

Apart from the weak manufacturing outlook, landlords will also grapple with a large supply of warehouses and factories.

"For 2016, we are of the view that landlords are more likely to reduce rental rates than maintain them. We expect demand for both warehouse and factory space to be weak," RHB Research said.