U.S. Dairy Exports Surge As Milkfat Markets Expand

One of the seven aging caves at The Cellars at Jasper Hill in Greensboro, VT. Jasper Hill provides aging expertise, distribution and marketing services for their own and local cheese makers. The Cellars at Jasper Hill an innovative 22,000 square foot underground facility consisting of seven ageing caves received a U.S. Department of Agriculture (USDA) Rural Development (RD) Business and Industry Guaranteed (BIG) Loan. This loan was used to construct state-of-the-art artesian cheese aging cave facility to support expanded on-farm value-added cheese production as well as contract aging for other local cheese makers so they may access the growing market for artisan cheese nationwide on Sep. 19, 2013. USDA Photo by Bob Nichols.

WASHINGTON, DC – U.S. dairy exports are reaching new records as cheese and butter shipments expand into more global markets. USDA’s Foreign Agricultural Service says rising milk production, new processing capacity, and favorable prices are strengthening the country’s export position.

Butter exports grew 148 percent over the past year, while cheese shipments increased 21 percent. Those two products generated about two-thirds of the increase in total U.S. dairy export value.

Export growth is also becoming less dependent on Canada and Mexico. North America’s share of butter shipments fell from 72 percent in 2024 to 44 percent across 2025 and the first five months of 2026 as sales expanded across Asia, Europe, Oceania, the Middle East, and Africa.

U.S. cheese exports are forecast to rise 23 percent in 2026 to 751,000 metric tons. Butter exports are projected to increase 40 percent to 171,000 metric tons.

Continued export growth will be important as domestic milk output increases. Strong foreign demand could absorb additional production, limit inventory buildup, and support producer milk prices.

Farm-Level Takeaway: Expanding cheese and butter exports provide a critical outlet for growing U.S. milk production.