Cheese Exports Drive U.S. Dairy’s Global Trade Growth

Expanding cheese exports are strengthening U.S. milk demand and reinforcing global competitiveness.

cheese cold storage_Photo by Vasyl Diachuk via AdobeStock_302955024.jpg

Cheese factory production shelves are filled with aging cheese in storage.

NASHVILLE, Tenn. (RFD-TV) — U.S. cheese exports are projected to expand again in 2026, reinforcing cheese as the primary engine of American dairy trade growth and a key source of milk demand. USDA forecasts U.S. cheese exports rising about 3 percent from 2025, supported by expanding processing capacity, competitive pricing, and strong international demand.

Higher milk production and continued investment in cheese plants across major dairy states — including Wisconsin, Texas, Kansas, Minnesota, and Idaho — are underpinning export growth. USDA notes that U.S. cheese prices remain competitive with global suppliers, helping American exporters gain market share in Asia and the Western Hemisphere. Strong shipments to Japan, South Korea, and Australia boosted 2025 exports sharply, setting the stage for continued momentum into 2026.

Export conditions among competitors are less favorable. European Union cheese exports are expected to decline slightly as tightening milk supplies, strong domestic demand, and higher prices limit export availability. New Zealand cheese exports are forecast higher despite modestly lower milk production, supported by recent processing investments. Australia is also projected to increase cheese exports, reaching its highest level in more than a decade as production rebounds and Asian demand improves.

Overall, global cheese trade growth in 2026 is expected to be modest, with the United States accounting for a significant share of the expansion.

Farm-Level Takeaway: Expanding cheese exports are strengthening U.S. milk demand and reinforcing global competitiveness.
Tony St. James, RFD-TV Markets Specialist
Related Stories
Record U.S. sorghum crop faces weak demand as China slashes imports, while corn farmers warn of rising costs, shrinking margins, and global market pressures.
Farmers face tighter barge capacity and higher freight costs during peak harvest.
“American soybean farmers—who are already reeling from your sweeping tariffs—deserve better.”

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

China’s beef policy risk stems from domestic volatility, making export demand inherently unstable. Jake Charleston with Specialty Risk Insurance offers his perspective on cattle markets, risk management, and producer sentiment.
Larger grain stocks increase supply pressure, but strong fall disappearance — especially for corn and sorghum — suggests demand remains an important offset.
Record corn and sorghum crops boost feed grain supplies, while reduced soybean and cotton production tighten outlooks for oilseeds and fiber markets.
Lewis Williamson with HTS Commodities joined us to provide analysis on the January WASDE report and expectations for grain markets going forward.
Structural efficiency supports cattle prices and resilience — breaking it risks higher costs and greater volatility.
Strong pork demand and improving beef exports outside China support protein markets despite ongoing trade barriers.