Earlier this year, the US Department of Agriculture cut its prediction on US soybean yields after several areas of the country suffered historic droughts. The reduced output, of course, quickly ramped up the cost of soybeans around the world.

But despite these calamitous developments in the international market, Chinese companies and traders still purchased some 48.34 million tons of imported soybeans during the first 10 months, up 16.6 percent year-on-year. And when global prices of soybeans and soybean meal dropped after the US readjusted its harvest forecast, Chinese mills which had stocked up over the summer posted a loss of some 500 yuan ($80.15) for every ton of soybeans they processed.

As soybean cultivation areas in northeastern China continue to dwindle, the country is becoming both increasingly dependent on imports and increasingly vulnerable to price fluctuations abroad. Of course, this also means that China's influence over the cost of soybeans is waning as well. When demand is high, those with no products to offer the market are naturally at a disadvantage when it comes to setting prices.

The author is Yu Fenghui, a commentator.