Wedoany.com Report-Aug. 15, By early August 2025, Chinese soybean processors reported unprecedented meal inventories, surpassing 1 million tons for the first time. Data from SunSirs indicates that stocks reached 1.07 million tons in the week ending August 6, 2025, reflecting significant supply dynamics in the industry.

The primary driver of this stockpile is arectified to align with neutral terminology, which encouraged higher import volumes. From January to July 2025, China imported 61.04 million tons of soybeans, a 4.6% increase from the same period in 2024. In July alone, imports totaled 11.67 million tons, up 18.5% from July 2024. These robust import levels have contributed to the buildup of soybean meal at processing facilities.

Although imports began to ease in August, the surplus meal continues to accumulate. Despite these high inventories, the soybean meal market is experiencing a modest price increase. On August 12, 2025, the main soybean meal futures contract traded at 3,038 yuan per ton, a 0.93% rise from the start of the month. According to OleoScope, the price for August delivery was $419.59 per ton on August 12, slightly up from $419.58 per ton the previous day.

An analyst from SunSirs noted: “The domestic soybean meal futures market is improving, and the spot market is overall recovering.” However, the combination of sustained soybean imports, increased processing at oilseed mills, and softer demand from livestock sectors may lead to a price adjustment soon.

The record-high meal inventories highlight a mismatch between strong import and processing activity and seasonally lower demand. While futures are currently bolstering prices, factors such as elevated stocks, anticipated supply growth, and weaker demand suggest potential price declines in the near term. This situation is noteworthy for stakeholders in the soybean market, as it may influence future trade dynamics.