Playwright Test Not Running with Postgres database connection using pg package

I'm facing an issue with Playwright tests. I have a separate module, db-connection.ts, for connecting and querying a PostgreSQL database using the pg package. Here's the relevant code in db-connection.ts:

import pg from 'pg';
import {envConfig} from "../playwright.config";

export async function connectAndQueryDatabase(query: string): Promise<any[]> {
    const client = new pg.Client({
        user: envConfig.DB_USERNAME,
        password: "",
        host: envConfig.DB_HOST,
        port: parseInt(envConfig.DB_PORT, 10),
        database: envConfig.DB_NAME,
    });

    try {
        await client.connect();
        const result = await client.query(query);
        return result.rows;

    } catch (error) {
        console.error('Error connecting or querying database:', error);
        throw error;

    } finally {
        await client.end();
    }
}

In my Playwright test spec file (e.g., shopping-cart.spec.ts), I'm trying to utilize the connectAndQueryDatabase function from db-connection.ts.

import {test, expect} from "@playwright/test"
import {PageManager} from "../pages/page-manager";
import {connectAndQueryDatabase} from "../framework/db-connection";
import {DbQueries} from "../framework/db-queries";


test.describe('ShoppingCart', () => {
    let pm: PageManager;

    test.beforeEach(async ({page}) => {
        pm = new PageManager(page);
        await pm.homePage().openHomepage();
    });

    test.only('Verify adding multiple products to the shopping cart', async () => {
        await connectAndQueryDatabase(DbQueries.deleteAllCoupons())
        await pm.homePage().clickProductThumbnail(1);
    });

Once I used the connectAndQueryDatabase() in my test spec, in Playwright test UI, my test spec shopping-cart.spec.ts is disappeared, and db-connection is displayed instead

Playwright test ui screenshot here

If I run the tests from the command line, I get an error stating "Error: Cannot find module 'pg'".

I've already installed the pg package using npm install pg --save. I've also verified the installation path. Here is all my node modules Node modules screenshot

Package.json file

{
  "name": "playwrightwebautomation",
  "version": "1.0.0",
  "main": "index.js",
  "scripts": {
    "local-test": "ENV=local npx playwright test",
    "prod-test": "ENV=prod npx playwright test"
  },
  "devDependencies": {
    "@faker-js/faker": "^7.6.0",
    "@playwright/test": "^1.45.0",
    "@types/node": "^20.14.9",
    "dotenv": "^16.4.5",
    "xlsx": "^0.18.5"
  },
  "dependencies": {
    "@types/pg": "^8.11.6"
  }
}

Playwright.config.ts file

import { defineConfig, devices } from '@playwright/test';
import dotenv from 'dotenv';

dotenv.config({
  path: `./env/.env.${process.env.ENV}`,
});

export default defineConfig({
  testDir: "./tests",
  /* Run tests in files in parallel */
  fullyParallel: true,
  /* Fail the build on CI if you accidentally left test.only in the source code. */
  forbidOnly: !!process.env.CI,
  /* Retry on CI only */
  retries: process.env.CI ? 2 : 0,
  /* Opt out of parallel tests on CI. */
  workers: process.env.CI ? 1 : undefined,
  /* Reporter to use. See https://playwright.dev/docs/test-reporters */
  reporter: 'html',
  /* Shared settings for all the projects below. See https://playwright.dev/docs/api/class-testoptions. */
  use: {
    /* Base URL to use in actions like `await page.goto('/')`. */
    // baseURL: 'http://127.0.0.1:3000',

    /* Collect trace when retrying the failed test. See https://playwright.dev/docs/trace-viewer */
    trace: 'on-first-retry',
    launchOptions: {
      args: ['--start-maximized']
    }
  },

  /* Configure projects for major browsers */
  projects: [
    {
      name: 'chromium',
      use: {
        viewport: null
      },
    },

    {
      name: 'chrome',
      use: {
        viewport: null
      }
    },

    {
      name: 'firefox',
      use: {
        viewport: null
      },
    },
  ],

});

Could you please help me understand why the test UI is displaying db-connection.ts instead of my test spec and how to resolve the missing pg module error? Thank you so much for the help