China’s pig slaughter surges, price falls

Profitability remains, but tightens

Despite falling prices, pig farming has stayed marginally profitable, thanks to historically low feed costs. Corn and soybean meal remain subdued, helping offset weaker livestock prices.

According to Zhu Zengyong, analyst at the Beijing Institute of Animal Husbandry and Veterinary Medicine, pig farming has remained profitable for 15 consecutive months. However, margins have narrowed significantly, with average farm profits dipping below 100 yuan (USD 13.70) per head in July.

Demand and market outlook

Domestic pork consumption remains subdued during the hot summer season, but analysts expect a recovery in September and a seasonal boost during jerky production in southern China in late November.

To stabilize prices, the National Development and Reform Commission (NDRC) has announced plans for a new round of frozen pork stockpiling, removing excess supply from the market.

On the trade front, China imported 626,000 tons of pork from January to July 2025, a 4.1% increase year-on-year, although July imports slipped 0.6%.

Looking ahead, analysts predict slight seasonal price increases but continued tight margins, with profitability expected to remain positive but constrained.

China remains the world’s largest pork producer and consumer, making its price movements and policy responses highly influential for global meat markets and feed demand.