US dairy exports begin 2026 strong in cheese and butter

US dairy exports started 2026 much like they finished 2025, with year-on-year (YOY) double-digit growth, the US Dairy Export Council reports. US milk solids equivalent (MSE) volume increased 12% in January, just shy of December’s 13% gain. It was the biggest January on record in MSE volume terms, driven by ongoing growth in cheese and butterfat shipments and—an infrequent sight over the past couple years—double-digit growth in nonfat dry milk/skim milk powder (NFDM/SMP).

However, the results on the value front were not as stellar: +4% to $740 million (€641m), as falling prices for US cheese and butter in the back half of the year began to catch up with shipments.

Cheese and butterfat, which set export records in 2025, remain the stars for US dairy exports. US cheese shipments rose 11% YOY to 51,688 metric tonnes (MT), which was just above the 2025 monthly export average of 51,087 MT.

While Australia, up by 46%, and adding 1,436 MT, remains a rising star for US cheese, sales to Latin America remain the engine powering export growth. The only notable surprise in January cheese results was Japan. YOY volume to Japan fell for the first time in nearly a year, dropping 24% (-1,375 MT) in January. The next couple months will tell whether that is a temporary blip or a more serious shift in purchasing.

US butter sales posted their ninth straight month of triple-digit YOY increases. Volume rose 187% to 9,194 MT. The Middle East/North Africa was responsible for nearly half that gain, with January volume to the region rising by 2,511 MT, an exponential increase over the previous year.