ARLINGTON, VA —U.S. dairy export volume and value rose to their highest levels in three years in 2025. Vibrant cheese demand outside the U.S., surging interest in protein, and favorable U.S. commodity pricing helped drive U.S. growth. It was a particularly welcome result given that the year was marked by softer domestic demand, an uncertain tariff climate, heavy second-half global milk production, and, as the year progressed, troublingly low milk prices.
Year-over-year U.S. dairy export volume increased 4% in milk solids equivalent (MSE) terms in 2025, rising to 2.32 million metric tons (MT)—the highest since the 2022 record of 2.41 million MT. U.S. dairy export value gained 15% to $9.63 billion, just shy of the 2022 record of $9.66 billion.
“The gains we saw in exports in 2025 show why international markets are critical to the health and vitality of U.S. dairy farmers, processors and other stakeholders,” says Krysta Harden, president and CEO of the U.S. Dairy Export Council (USDEC). “These are challenging times for U.S. dairy farmers, but they would be untenable without the export progress we’ve made as an industry—and the growth we continue to generate—in markets beyond U.S. borders.”
The U.S. sent more than 17% of 2025 milk production to overseas markets last year. U.S. suppliers set records for cheese (+20% to 613,045 MT), butterfat (+167% to 122,085 MT) and high-protein whey (+6% to 77,811 MT), amid growth in several categories, including milk protein concentrate, whole milk powder, yogurt, buttermilk and casein. (Note: USDEC adjusts whey numbers to China to account for misclassified product.)
Not all categories outperformed the previous year. Lower U.S. production of nonfat dry milk/skim milk powder (NFDM/SMP) reduced U.S. ability to play a larger global role in that market. Year-over-year NFDM/SMP exports fell 9% in 2025 (-66,878 MT).
But U.S. dairy remains extremely well-positioned to meet expanding global nutritional needs.
“There are always hurdles. We are facing challenges now and there will be more ahead,” said Harden. “Anticipating and addressing those challenges is part of USDEC’s mission. We are committed to finding solutions and helping to create a level playing field for U.S. dairy to thrive.”
That includes addressing lopsided growth in milk component levels—with fat outpacing protein—that will challenge the U.S. to become a more consistent global supplier of products like butter, anhydrous milkfat (AMF) and whole milk powder (WMP).
Challenges are not new.
“Last year, USDEC celebrated its 30th anniversary. Over three decades, the organization and the U.S. industry have had to adapt to meet the diverse needs of buyers from around the world,” Harden says. “It’s never simple, but nutrition, taste and the functional benefits of dairy ingredients will continue to drive global dairy demand, and I am optimistic the U.S. will continue to evolve to meet the world’s dairy needs.”
Here are some selected highlights from the data:
- U.S. cheese export growth is balanced and broad based. U.S. dairy suppliers sold more than 1,000 MT of cheese to 37 countries in 2024. In 2025, sales grew to 32 of those countries, with 24 rising by double-digits. Declines to the other five countries were due mostly to extenuating circumstances, such as retaliatory tariffs in China and geopolitical turmoil in Venezuela.
- U.S. cheese exports exceeded 50,000 MT in eight out of 12 months in 2025. Before 2025, they had never topped 50,000 MT in a single month.
- U.S. butterfat exports exceeded 100,000 MT for the first time and did so handily. Butter volume rose 163% to 83,524 MT and AMF and dairy spreads increased 176% to 38,561 MT.
- While Canada remained the top U.S. butterfat buyer for the year and U.S. exports to Canada jumped 50% (+14,225 MT), its share of U.S. volume dropped from 62% in 2024 to 35% in 2025, as U.S. sellers significantly diversified their market reach. The United States posted big gains to the Middle East/North Africa (+1,571%, +17,844 MT), the European Union (+4,572%, +13,872 MT) and Mexico (+194%, +9,525 MT).
- U.S. suppliers diversified in high-protein whey (WPC80+) as well. Shipments to Japan, a long-time market leader, jumped 32% to 16,612 MT, but the United States also saw significant growth to the European Union (+44% to 10,183 MT), Southeast Asia (+52% to 6,548 MT) and India (+38% to 5,347 MT). An estimated 45% decline (-7,117 MT) to the No. 1 U.S. WPC80+ customer, China, limited overall category growth to 6% (+4,412 MT). (Note: USDEC adjusts whey numbers to China to account for misclassified product.)
- Mexico remained the top U.S. market by value in 2025, accounting for 27% of exports by value or $2.6 billion. It was the leading buyer of U.S. cheese ($965 million) and NFDM/SMP ($1.1 billion).
- Total U.S. dairy exports to Australia surged 77% to a record annual volume of 67,203 MT. The country became the No. 3 U.S. butter buyer (up exponentially to 6,553 MT) after not even ranking within the top 40 U.S. destinations in 2024. It also solidified its position as the No. 4 U.S. cheese market, with volume up 60% to 44,374 MT and became a country to watch moving forward in WPC80+, with volume up 153% to 1,946 MT.
