# Capacity Is Being Rapidly Cut as Industry Leaders Compete to Lower Costs: How Much Longer Will the Hog Cycle Last?

> China’s sow herd and total pig inventory were down year over year at the end of the third quarter, and industry analysts expect the effects of capacity reductions on market hog supplies to emerge mainly in the second quarter of 2027. Major producers are cutting costs, while some industry participants say the latest price recovery has been delayed and weaker operators may exit sooner.

- Date: 2026-11-07 · published 2026-11-07T19:37:02.398Z
- Category: report · region China · magnitude medium
- Page: https://feedsoft.ai/events/86467-capacity-is-being-rapidly-cut-as-industry-leaders-compete-to-lower-costs-how
- Commodities: [Lean Hogs](https://feedsoft.ai/c/HOGS.md), [Corn](https://feedsoft.ai/c/CORN.md), [Soybean Meal](https://feedsoft.ai/c/SBM.md)

## Why it matters

Continued sow-herd reductions could tighten hog supplies after a production lag and support hog prices if consumer demand also improves. Lower pig numbers could reduce feed demand, though the article does not quantify that effect.

## Read by commodity

- SBM: bearish ▼
- CORN: bearish ▼
- HOGS: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| HOGS | 2024-04-24 | [Rabobank Report: Strong Exports and Limited Supply Growth Drive Pork Industry Return to Profitability - Swineweb.com - Complete Swine News, Markets, Commentary, and Technical Info](https://feedsoft.ai/events/30886-rabobank-report-strong-exports-and-limited-supply-growth-drive-pork-industry.md) | -2.8% | -0.7% |
| HOGS | 2023-07-06 | [Pig outlook: Lean hog futures bulls gain still more power
						 \| The Pig Site](https://feedsoft.ai/events/35028-pig-outlook-lean-hog-futures-bulls-gain-still-more-power-the-pig-site.md) | +1.9% | +5.4% |
| HOGS | 2022-10-26 | [US Beef Demand Seen Falling in 2023 as Cattle Herd Continues to Shrink – The Van Trump Report](https://feedsoft.ai/events/39088-us-beef-demand-seen-falling-in-2023-as-cattle-herd-continues-to-shrink-the-van.md) | -2.2% | -5.8% |
| HOGS | 2022-09-06 | [China’s pork industry sees new cycle \| MEAT+POULTRY](https://feedsoft.ai/events/39573-china-s-pork-industry-sees-new-cycle-meat-poultry.md) | -1.1% | -4.9% |
| HOGS | 2026-06-29 | [Hog futures mixed as smaller-than-expected herd spurs buying - CME
						 \| The Pig Site](https://feedsoft.ai/events/18955-hog-futures-mixed-as-smaller-than-expected-herd-spurs-buying-cme-the-pig-site.md) | +0.6% | +8.7% |
| CORN | 2017-08-17 | [CoBank report says ethanol industry will soon face worsening margins that could lead to consolidation  : The Daily Digest](https://feedsoft.ai/events/69458-cobank-report-says-ethanol-industry-will-soon-face-worsening-margins-that-could.md) | -2.7% | -3.9% |
| CORN | 2022-05-10 | [China Feed Industry Association: Four measures to combat the cost soaring of domestic feed ingredients](https://feedsoft.ai/events/41394-china-feed-industry-association-four-measures-to-combat-the-cost-soaring-of.md) | +3.2% | -1.4% |
| CORN | 2024-07-01 | [Is the Cattle Market Topping and When Will Corn Bottom? - AgWeb](https://feedsoft.ai/events/7976-is-the-cattle-market-topping-and-when-will-corn-bottom-agweb.md) | +0.4% | +2.1% |

## Sources

- finance.sina.com.cn: https://finance.sina.com.cn/roll/2026-11-07/doc-inixwnyh8338727.shtml

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