# Shanghai Steel Union's Wang Lingyun: Hog farming capacity reduction cycle likely to end in Q1 2027

> Shanghai Steel Union analyst Wang Lingyun said the hog industry's capacity reduction cycle will likely end in Q1 2027, with supply effects appearing after Q2 2027. Among 113 listed agriculture companies reporting Q3 results, 39 posted year-on-year profit growth, led by broiler producers, while hog farmers posted the largest losses. China's sow herd fell to 36.02 million head at end-Q3.

- Date: 2026-11-03 · published 2026-11-03T18:43:53.529Z
- Category: market · region China · magnitude low
- Page: https://feedsoft.ai/events/78325-shanghai-steel-union-s-wang-lingyun-hog-farming-capacity-reduction-cycle-likely
- Commodities: [Lean Hogs](https://feedsoft.ai/c/HOGS.md), [Chicken](https://feedsoft.ai/c/CHICKEN.md)

## Why it matters

Persistent hog oversupply and weak Q4 demand keep domestic pork prices low, reducing near-term import demand for feed. Broiler strength supports demand for feed ingredients such as corn and soymeal.

## Read by commodity

- HOGS: bearish ▼
- CHICKEN: bullish ▲

## Sources

- guqizhixuan.cn: https://www.guqizhixuan.cn/news-20261103-3bb6eea0.html

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