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
The closure of Lubbock Feeders highlights mounting pressure on the U.S. cattle supply, according to the Texas Cattle Feeders Association, as border restrictions and costs strain feedyards.
China may no longer serve as a consistent anchor market for U.S. cotton exports. Lewis Williamson of HTS Commodities joined us to discuss the factors influencing planting decisions, river conditions, and what producers are considering as they finalize acreage plans for the season.
Texas lawmakers secure funding for sterile fly production as officials work to stop the New World screwworm from spreading into the U.S. cattle herd.

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:

Crop producers face tightening credit and lower incomes, while strong cattle markets continue to stabilize finances in livestock-heavy regions.
Early Cattle-on-Feed estimates point to slightly tighter cattle supplies, reinforcing the need to monitor prices and timing for winter marketing.
Removing the 40% duty sharply lowers U.S. beef import costs on beef, coffee, fertilizer and fruit, and restores Brazil’s competitiveness during a period of tight domestic supply.
Row crop losses in 2025 are outpacing last year. With no disaster aid yet approved, many operations face a tough financial bridge to 2026 even as Farm Bill improvements remain a year away.
Experts say farmers and ethanol producers would benefit from a risk-based ILUC system that protects forests without relying on speculative modeling.
Farmland values remain stable, but weakened credit conditions and lower expected farm income signal tighter financial margins heading into 2026.