# Pacific Securities: The driving force for capacity reduction in the pig farming industry is strengthening, and the pace of reduction may accelerate.

> Pacific Securities reports China's hog sector has lost money for 10 consecutive weeks, with self-bred hogs in major areas losing an average of RMB 135 per head. Higher rainfall has raised African swine fever risks, and policy signals point to accelerating capacity reduction.

- Date: 2025-11-26 · published 2025-11-26T12:00:00.000Z
- Category: policy · region China · magnitude medium
- Page: https://feedsoft.ai/events/21945-pacific-securities-the-driving-force-for-capacity-reduction-in-the-pig-farming
- Commodities: [Lean Hogs](https://feedsoft.ai/c/HOGS.md), [Soybean Meal](https://feedsoft.ai/c/SBM.md)

## Why it matters

Persistent losses and expected capacity cuts point to lower hog herd growth and weaker feed demand, which is bearish for soymeal and corn while supporting hog prices.

## Read by commodity

- SBM: bearish ▼
- HOGS: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| HOGS | 2026-09-10 | [China's hog capacity reduction poised to accelerate in Sep \| Mysteel](https://feedsoft.ai/events/17465-china-s-hog-capacity-reduction-poised-to-accelerate-in-sep-mysteel.md) | -4.1% | -8.3% |
| HOGS | 2025-06-18 | [Reaping of the sow: China to reduce pig count by 1 million amid low prices, deflation risk \| South China Morning Post](https://feedsoft.ai/events/24183-reaping-of-the-sow-china-to-reduce-pig-count-by-1-million-amid-low-prices.md) | +2.3% | -2.7% |
| HOGS | 2017-11-05 | [No joke: China's war on pollution roils world's top pig farming sector](https://feedsoft.ai/events/67976-no-joke-china-s-war-on-pollution-roils-world-s-top-pig-farming-sector.md) | -2.8% | -3.2% |
| HOGS | 2024-06-07 | [China's Pig Prices Rebound in 2024 Due to Market Recovery and Government Intervention](https://feedsoft.ai/events/29749-china-s-pig-prices-rebound-in-2024-due-to-market-recovery-and-government.md) | -0.3% | -2.2% |
| HOGS | 2022-08-31 | [Strict new controls on pork and pork products to protect Britain’s pig sector against African swine fever - GOV.UK](https://feedsoft.ai/events/16252-strict-new-controls-on-pork-and-pork-products-to-protect-britain-s-pig-sector.md) | -3.8% | -6.8% |
| SBM | 2026-09-10 | [China's hog capacity reduction poised to accelerate in Sep \| Mysteel](https://feedsoft.ai/events/17465-china-s-hog-capacity-reduction-poised-to-accelerate-in-sep-mysteel.md) | +4.1% | +5.8% |
| SBM | 2024-03-05 | [EUDR: Is the food industry ready to prove its supply chains are deforestation-free?](https://feedsoft.ai/events/31226-eudr-is-the-food-industry-ready-to-prove-its-supply-chains-are-deforestation.md) | +0.6% | -3.2% |
| SBM | 2023-01-10 | [China's soy reduction campaign could be an opportunity for alt-protein producers \| The Fish Site](https://feedsoft.ai/events/38120-china-s-soy-reduction-campaign-could-be-an-opportunity-for-alt-protein.md) | +2.5% | -1.8% |

## Sources

- news.futunn.com: https://news.futunn.com/en/post/65440874/pacific-securities-the-driving-force-for-capacity-reduction-in-the

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