The dairy industry is keeping a close eye on trade policies. The U.S. exports a little more than 15 percent of dairy products, meaning access to global markets affects supply and prices.
‘Dairy has big stakes in export markets. We export about 16 or 17% of our production, so if we lose those or lose a portion of them, then that means products are backing up into the U.S., and unless we find new homes for those, either domestically or in other markets, then prices drop because we have too much supply. So, the stakes are very high for dairy, and of course, our three biggest markets are Mexico, Canada, and China,” said National Milk Producers Federation’s Chris Galen.
Canada and Mexico are top markets for U.S. dairy exports, with ongoing efforts to strengthen ties. Meanwhile, China remains the largest market.
Higher ocean freight raises export costs just as global grain competition intensifies.
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Rooster is a full-time farmhand, right-hand man on Shawn Raff’s cattle and dairy operation in Eatonton, Georgia.
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Buying a real Christmas tree directly supports U.S. farmers facing rising import competition, long production cycles, and weather-driven risks.
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Strong plant output and rising exports contrast with softer domestic blending demand, suggesting margins are poised for volatility.
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Milk output is rising, but steep drops in Class I–IV prices are tightening margins heading into 2026.
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Weaker U.S. dairy prices come as value-added exports expand and ingredient inventories tighten, creating mixed market signals for producers.
December 03, 2025 06:52 PM
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WTO gauges point to agricultural raw materials trade growing more slowly than overall goods, reinforcing the need to manage export risk and monitor policy shifts closely.
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Improved export prospects and higher crop prices strengthened future expectations despite continued caution about spending.
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While the agriculture industry hoped details on proposed “bridge” payments for farmers would be released this week, Ag Secretary Brook Rollins said the USDA is still working with the White House on the finer points.
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