The trade stakes are high for the dairy industry

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.

Related Stories
Despite the need for swift action, many ag lawmakers and industry groups argue that farm aid alone will likely not be sufficient to help farmers without improved trade relations with China.
Tyson’s capacity cuts weaken local basis, tighten kill space, and heighten dependence on imports, signaling more volatility for producers.
Corn exports remain strong, while soybeans and wheat shift week to week on river conditions and global demand.
The National Milk Producers Federation will launch a new advocacy campaign to secure a final vote, urging House lawmakers to approve the bill as soon as they return from the Thanksgiving recess.

LATEST STORIES BY THIS AUTHOR:

The Farm Bureau’s honor highlights the important role farm dogs play on operations across the country, serving as dependable workers and trusted companions.
Logistics capacity remains available, but winter volatility favors flexible delivery and marketing plans. NGFA President Mike Seyfert provides insight into grain transportation trends, trade policy, and priorities for the year ahead.
Rising adoption of GLP-1 drugs may gradually reshape food demand, with potential downstream effects on protein markets and consumer purchasing patterns.
Traders are keeping a close eye on China’s soybean purchases as markets track export sales, shipments, and progress toward the ‘magical’ 12 million ton target promised last year.
Leadership development and bipartisan engagement remain central to advancing agriculture’s priorities in 2026.
AFBF Economist Faith Parum provides analysis and perspective on the Farmer Bridge Assistance Program—what commodity growers should know and potential remedies for producers facing crop losses where that aid falls short.