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In 2025, China had an output of around million metric tons of cow's milk, slightly more than in the previous year. The national milk production volume ranged between ** and ** million tons annually between 2008 and 2018, but has increased in recent years.

Dairy sector in China

China is the fourth largest dairy producer in the world and the second largest in Asia. Not only the number of dairy cows is expected to grow in the country, but also the production volume per cow, which is forecasted to grow from approximately kilograms in 2021 to kilograms in 2028. Regardless of improving domestic production, China still relies heavily on dairy imports. In 2023, China imported liquid milk and milk powder in large packets in volumes of around ** and ** metric tons respectively. *** are among the major suppliers of dairy products for the Chinese market.

Major Chinese dairy producers

Inner Mongolia Yili Industrial Group is the largest dairy processor in China. It is the number one Chinese company for UHT milk and milk powder, as well as being the most valuable Chinese food and dairy brand according to a Milward Brown's BrandZ ranking. Mengniu Dairy is Yili Group’s major competitor and is based in the same region of Inner Mongolia. Bright Dairy and some newer companies such as Shengmu are other well capitalized and well known market leaders.