Source: Chris Scott, MEATINGPLACE, 4/19/18


Pork producers in China are slowing expansion plans in light of a domestic hog glut that has sent prices to eight-year lows, according to a Reuters report.

Years of investment to boost China’s pork production and reduce reliance on imports has resulted in production growth outpacing demand. Two Chinese pork companies told Reuters they are either reducing expansion plans or holding off adding thousands of breeding pigs in light of the lower prices, with one company cutting back on pig farming plans for the rest of the year. Others, however, say they will keep growing, according to the report.

The Chinese government called for pork producers to adopt more “rational” programs with pig farmers losing as much as $30 per slaughtered pig, according to China’s Global Times, citing the Reuters report.

China’s plan to impose a 25 percent tariff on U.S. soybeans, in retaliation for U.S. duties on Chinese products, would raise feed costs and could push more Chinese producers out of business, the report suggested.

The Chinese government has officially listed 128 U.S.-made products — including U.S. pork — that will be subject to a 25 percent tariff in response to the Trump administration’s levy on imported steel and aluminum.

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