Soybean oil and fractions market in Eastern Asia

Earlier Report Observations

The soybean oil market in Eastern Asia began the period under the influence of updated regulatory frameworks. In 2018, the implementation of the revised national food safety standard for vegetable oils (GB 2716-2018) introduced stricter limits for solvent residues and other quality parameters, which standardized production processes across the industry. The following year, market production contracted as the sector grappled with significant overcapacity and low utilization rates at coastal oil refineries, a situation linked to high reliance on imported soybeans for raw material.

Market conditions shifted notably from 2021 onward. That year, a globally ample supply of soybeans, particularly from increased South American production, improved raw material availability and lowered input costs, supporting a rebound in domestic output and market volume. In 2022, a record domestic soybean harvest, achieved through expanded crop rotation and intercropping policies in key regions, bolstered local raw material supply. However, total market size saw a modest adjustment amid moderated demand. The market resumed its growth trajectory in 2023, fueled by rising consumer demand for non-GMO soybean oil and the expansion of industrial segments such as epoxidized soybean oil, reflecting a broader trend toward specialized and health-oriented products.

Production soybean oil and fractions in Eastern Asia

In kind, 2017-2020, K t

Top producers of soybean oil and fractions, 2017-2020

World map of production of soybean oil and fractions, 2017-2020

In Eastern Asia, soybean oil and fractions production reached 17 031 thousand tonnes in 2020, marking a 4.9% increase from the previous year. Looking at the period from 2017 to 2020, production grew by 3.1%, with an average annual growth rate of 1.0%. The lowest production level was recorded in 2019 at 16 235 thousand tonnes, which also saw the largest decline of 3.7% during this timeframe.

Annual dynamics of production in Eastern Asia in kind, 2017-2020, K t

In value, 2017-2020, M $ US

Following a two-year decline, soybean oil and fractions production in Eastern Asia rebounded in value terms. In 2020, the output was valued at 16 924 million US dollars, up 8.1% compared to 2019. Over the 2017-2020 period, however, production value decreased by 5.7%, translating to an average annual decline of 1.9%. The lowest value was recorded in 2019 at 15 652 million US dollars, which experienced the steepest drop of 9.1%.

Annual dynamics of production in Eastern Asia in value, 2017-2020, M $ US

Exports soybean oil and fractions from Eastern Asia

Exports in kind, K t

Soybean oil and fractions exports from Eastern Asia declined for the second year in a row. In 2020, exports totaled 113 thousand tonnes, a sharp decrease of 44.9% from the previous year. From 2017 to 2020, exports fell by 19.2%, with an average annual decline of 6.9%. The peak was in 2018 at 215 thousand tonnes, which also saw the largest increase of 54.4% during this period.

Annual dynamics of product's exports from Eastern Asia in kind, 2017-2020, K t

Between 2017 and 2020, key buyers of soybean oil and fractions from Eastern Asia included Malaysia, accounting for 5.4% of exports in volume, Venezuela at 2.6%, and Singapore at 1.7%. Together, these three countries represented only 9.7% of total exports, while the remaining 90.3% was distributed among numerous other trading partners.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Eastern Asia in kind, 2017-2020

Exports in value, M $ US

Soybean oil and fractions exports from Eastern Asia continued to decline for the second consecutive year. In 2020, export value reached 112 million US dollars, reflecting a significant 43.2% drop compared to 2019. Over the 2017-2020 period, exports decreased by 26.1%, with an average annual decline of 9.6%. The highest value was recorded in 2018 at 220 million US dollars, which also experienced the largest increase of 45.1%.

Annual dynamics of product's exports from Eastern Asia in value, 2017-2020, M $ US

From 2017 to 2020, the export market in value terms was highly diversified. Malaysia contributed 4.1% of total export value, Venezuela 2.0%, and Singapore 1.9%. Combined, these three partners accounted for just 8.0% of total flows, with the substantial majority of 92.0% going to a wide range of other countries.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Eastern Asia in value, 2017-2020

Imports soybean oil and fractions to Eastern Asia

Imports in kind, K t

Imports of soybean oil and fractions into Eastern Asia increased for the second year in a row. In 2020, imports amounted to 1 395 thousand tonnes, up 12.1% from the previous year. Between 2017 and 2020, imports grew by 39.9%, with an average annual increase of 11.8%. The lowest import volume was in 2018 at 898 thousand tonnes, which saw the largest decline of 10.0%. In contrast, 2019 recorded the highest growth at 38.6%.

Annual dynamics of product's imports to Eastern Asia in kind, 2017-2020, K t

During the 2017-2020 period, the United States was the largest source of imports in volume, accounting for 25.8%, followed by Brazil at 21.3% and Argentina at 18.7%. Together, these three countries comprised 65.9% of total import flows.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Eastern Asia in kind, 2017-2020

Imports in value, M $ US

Imports of soybean oil and fractions into Eastern Asia rose for the second consecutive year. In 2020, import value reached 1 395 million US dollars, representing a 16.6% year-over-year increase. Over the 2017-2020 period, imports grew by 28.1%, with an average annual growth rate of 8.6%. The lowest value was in 2018 at 738 million US dollars, which experienced the largest decline of 12.5%. The highest increase was in 2019 at 25.5%.

Annual dynamics of product's imports to Eastern Asia in value, 2017-2020, M $ US

From 2017 to 2020, the United States remained the top source for imports in value terms, accounting for 26.5%, with Brazil at 20.5% and Argentina at 17.6%. These three countries together represented 64.7% of total import flows.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Eastern Asia in value, 2017-2020