China's hog prices hit seven-year low in 2026
In China, hog prices have dropped to their lowest point since 2019, putting financial pressure on pig farming companies from the start of 2026. As of March 16, prices fell nearly 15% to 10.3 yuan ($1.5) per kilogram, below industry production costs.
Source Yicaiglobal
From January to February, 19 publicly listed companies increased sales by 10% to 30.4 million heads, but their revenue declined. The largest player, Muyuan Foodstuff, sold 11.6 million heads, yet its February revenue dropped 24% year-on-year.
The price decline is mainly driven by excess supply and weak demand. Meanwhile, the reduction of production capacity in the hog industry is proceeding slowly, hindering price stabilization.
Muyuan Foodstuff is the largest Chinese pig producer, engaged throughout the value chain—from breeding pigs to processing and sales—giving it a significant market position.
Despite increased sales volumes, Chinese pig farming firms continue to face profitability challenges due to low hog prices, creating sustained financial pressure in 2026.
The future trend of China's hog market will depend on shifts in supply and demand as well as the industry's ability to adjust production capacity to new market realities.
