Group 1 - The total sugar production in China for the current sugar production period reached 11.1621 million tons, an increase of 12.03% compared to the previous year, with a cumulative sales rate of 72.69%, which is 6.52 percentage points higher year-on-year [1] - The average sugar price index from the Food and Agriculture Organization in May was 109.4 points, a decrease of 2.9 points (2.6%) month-on-month, marking the third consecutive month of decline and 7.7 points (6.6%) lower than May 2024 levels [1] - In Inner Mongolia, sugar production reached 663,500 tons, an increase of 128,500 tons year-on-year, with a cumulative sales of 565,800 tons, up 90,700 tons year-on-year, and an industrial inventory of 97,700 tons, an increase of 37,800 tons year-on-year [1] Group 2 - From a fundamental perspective, improved weather conditions in Brazil are expected to boost sugar production, while domestic demand is entering a peak consumption season, particularly in Guangxi, where cumulative sales increased by 537,000 tons year-on-year [2] - Current spot prices in Guangxi remain firm at 6,090-6,180 yuan/ton, while futures prices are under pressure due to a contango structure, suggesting a cautious trading strategy with a short-term focus on selling at resistance levels [2] - Market expectations for sugar supply are bearish due to the upcoming production season in Brazil, while domestic sales have been strong, leading to a potential increase in import volumes [3]