Palm oil exports to China fell by a third amid rising prices

Malaysia’s palm oil exports to China fell by nearly 29% in the first 10 months of 2025, the country’s Minister of Plantations and Primary Commodities said on Thursday.

As Reuters notes, the decline reflects broader issues related not only to competitiveness and logistics, but also to pricing dynamics and market positioning. Last year, Malaysia’s palm oil exports to China totaled 1.39 million tonnes, a 5.3% decline from the 2023 target.

Johari attributed the decline to higher palm oil prices compared to soybean oil.

“Since soybean oil is also imported to China as edible oil for consumption and industrial use, buyers have chosen the cheaper alternative… This is not about geopolitics,” the minister said following a press conference.

Palm oil follows the price dynamics of competing edible oils, including soybean oil.

According to OleoScope, the price of Daylian China RBD palm oil for November delivery on November 27, 2025, was $1,185.48 per tonne, which is $9.64 per tonne higher than the previous price on November 26, 2025 ($1,175.84 per tonne). The price of Daylian China soybean oil for November delivery on November 27, 2025 was $1,171.07 per tonne, which is $11.62 per tonne higher than the previous price on November 26, 2025 ($1,159.44 per tonne). This is the highest value in a week.

The minister suggested that Chinese buyers should deal directly with major palm oil producers in Malaysia, noting that buyers with one-year purchasing agreements may be eligible for discounts.

Tags: China, palm oil