# Waning demand for CPO threatens exports, price

> Malaysia's palm oil exports fell 41.7% in the first month of its Movement Control Order, to 890,331 tonnes from 1.53 million tonnes a year earlier. China has also decided to draw 500,000 tonnes from its soybean reserves because Brazilian cargoes were delayed. Malaysia is also deferring the next phase of its B20 biodiesel mandate.

- Date: 2020-05-04 · published 2020-05-04T12:00:00.000Z
- Category: trade · region Malaysia · magnitude medium
- Page: https://feedsoft.ai/events/11552-waning-demand-for-cpo-threatens-exports-price
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md), [Soybeans](https://feedsoft.ai/c/SOY.md)

## Why it matters

Weaker export demand and deferred biodiesel mandates both reduce palm oil consumption, pressuring CPO prices. China's soybean reserve drawdown also cuts its near-term imports, which weighs on soybean prices.

## Read by commodity

- SOY: bearish ▼
- PALMOIL: bearish ▼

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| PALMOIL | 2020-05-05 | 5 | -10.4% | -3.6 | Malaysian exports down 41.7% during lockdown, B20 biodiesel deferral and extra Chinese soybean reserve supply point to weak demand and lower palm prices (published 4 May, within the window). |
| PALMOIL | 2020-05-04 | 5 | -9.4% | -3.2 | Published 2020-05-04, it reports a 41.7% drop in Malaysian exports, a deferred B20 biodiesel phase and weak demand, all bearish for palm oil prices in the window. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| PALMOIL | 2025-12-02 | [China’s soyabean oil exports to India surge due to weak demand…](https://feedsoft.ai/events/11265-china-s-soyabean-oil-exports-to-india-surge-due-to-weak-demand.md) | +0.8% | -0.2% |
| PALMOIL | 2017-05-24 | [Chinese demand for palm oil set to drop \| The Star](https://feedsoft.ai/events/71094-chinese-demand-for-palm-oil-set-to-drop-the-star.md) | -0.7% | -4.8% |
| PALMOIL | 2022-07-20 | [Indonesia’s palm oil exports set to soar 60% in price blow \| FMT](https://feedsoft.ai/events/40582-indonesia-s-palm-oil-exports-set-to-soar-60-in-price-blow-fmt.md) | -0.4% | +3.9% |
| PALMOIL | 2021-05-18 | [Palm oil falls as traders weigh weakening demand](https://feedsoft.ai/events/47188-palm-oil-falls-as-traders-weigh-weakening-demand.md) | -2.5% | -12.8% |
| PALMOIL | 2021-07-22 | [Palm oil ends lower tracking weaker soy prices, declining export pace - Markets - Business Recorder](https://feedsoft.ai/events/46162-palm-oil-ends-lower-tracking-weaker-soy-prices-declining-export-pace-markets.md) | +1.4% | +6.9% |
| SOY | 2025-05-01 | [US export demand pulls corn prices higher — TradingView News](https://feedsoft.ai/events/24703-us-export-demand-pulls-corn-prices-higher-tradingview-news.md) | -0.4% | +1.6% |
| SOY | 2022-09-26 | [Chinese demand for grain imports takes tumble \| The Western Producer](https://feedsoft.ai/events/14900-chinese-demand-for-grain-imports-takes-tumble-the-western-producer.md) | -4.3% | -2.1% |
| SOY | 2022-11-07 | [Chinese Yuan Weakens Amid Contracting Exports, Imports on Struggling Demand](https://feedsoft.ai/events/6251-chinese-yuan-weakens-amid-contracting-exports-imports-on-struggling-demand.md) | +0.3% | -0.9% |

## Sources

- themalaysianreserve.com: https://themalaysianreserve.com/2020/05/04/waning-demand-for-cpo-threatens-exports-price/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.