Executive Summary Chinese dairy import figures provided by GTIS were recently updated with values spanning through Dec ’15. Highlights from the updated report include: • Chinese dairy imports finished higher on a YOY basis for the fifth consecutive month in Dec ’15. • Dec ’15 Chinese dairy imports excluding whole milk powder and skim milk powder were particularly strong, finishing at a new monthly record high. • Despite recent gains, 2015 annual Chinese dairy imports finished 11.3% below the previous year annual totals. Additional Report Details According to GTIS, Dec ’15 total Chinese dairy import volumes increased 8.8% MOM on a daily average basis and 41.4% YOY to a new 11 month high. Total Chinese dairy import volumes have increased YOY for five consecutive months and finished at the second highest level on record for the month of December but remain significantly below the peak levels experienced in early 2014. Total Chinese dairy import volumes typically decline to seasonal lows throughout the late summer months prior to increasing again throughout the winter months. Despite strengthening import volumes, total Chinese dairy imports remain 13.0% below Dec ’13 levels and 31.1% below peak levels experienced in Jan ’14. 2015 annual total Chinese dairy imports finished 11.3% below the previous year but 6.2% above the previous three year average import volumes. Dec ’15 Chinese whole milk powder (WMP) imports declined 39.7% MOM on a daily average basis and 30.6% YOY however Dec ’15 Chinese skim milk powder (SMP) imports increased 25.9% MOM on a daily average basis and 5.5% YOY. Dec ’15 Chinese dairy imports excluding WMP and SMP increased 19.7% MOM on a daily average basis and 72.8% YOY to a new monthly record high. 2015 annual Chinese dairy imports excluding WMP and SMP finished 19.7% above the previous year however gains were not large enough to offset 48.9% and 20.8% YOY declines in Chinese WMP and SMP imports, respectively. Dec ’15 Total Chinese Dairy Import Volumes Remain Below Highs Experienced in Early 2014 Dec ’15 Total Chinese Dairy Import Volumes Finished up 8.8% MOM and 41.4% YOY Chinese Dairy Import Volumes Were the Second Largest on Record for the Month of Dec Dec ’15 Chinese WMP Import Volumes Finished Down 39.7% MOM and 30.6% YOY Dec ’15 Chinese WMP Imports Declined to a Seven Year Low for the Month of December Dec ’15 Chinese SMP Import Volumes Finished up 25.9% MOM and 5.0% YOY Dec ’15 Chinese SMP Imports Were the Third Largest on Record for the Month of Dec Dec ’15 Chinese Dairy Imports Excluding WMP & SMP up 19.7% MOM and 72.8% YOY Dec ’15 Chinese Dairy Imports Excluding WMP & SMP Finished at a Record December High New Zealand Accounted Over 30% of Total Dec ’15 Chinese Dairy Import Volumes