LUBBOCK, Texas (RFD-TV News) — Strong export demand is helping support the U.S. cheese market as domestic retail and foodservice demand softens. Cheese exports were up 24% through July compared with a year earlier, following 20% growth during 2025.
Exports now account for more than 10% of U.S. cheese production over the past year, becoming an increasingly important demand outlet alongside retail and foodservice. July cheese exports totaled 143.9 million pounds, up 25% from a year earlier.
Domestic demand has been less supportive. Retail cheese sales were up just 0.1% for the year, while sliced cheese sales declined 1.9% during the summer. Quick-service restaurant visits fell 2.8% in July, limiting foodservice cheese movement.
Cheese production increased 2% in July, adding supply as domestic demand weakened. That combination has placed pressure on cheese prices despite strong overseas sales.
Continued export growth could remain important for balancing supplies if retail and restaurant demand stays soft through the remainder of 2026.
