Executive Summary Chinese dairy import figures provided by IHS Markit were recently updated with values spanning through Dec ’20. Highlights from the updated report include:

• Chinese dairy import volumes increased on a YOY basis for the 25^th time in the past 27 months during Dec ’20, finishing up 19.5% and reaching a record high seasonal level.
• Chinese whole milk powder and skim milk powder import volumes declined on a YOY basis throughout Dec ’20 but each remained at the third highest seasonal level on record. Chinese dairy imports excluding SMP and WMP remained at a record high seasonal level for the seventh consecutive month, however.
• The market share of Chinese dairy imports originating from within the EU-28 increased most significantly from the previous year throughout Dec ’20, while the market share of Chinese dairy imports originating from within New Zealand and the U.S. finished below previous year levels.

Additional Report Details According to IHS Markit, Dec ’20 total Chinese dairy import volumes remained higher on a YOY basis for the 25^th time in the past 27 months, finishing up 19.5% and reaching a record high seasonal level for the month of December. 2020 annual Chinese dairy import volumes increased 11.8% on a YOY basis, reaching a record high level for the fifth consecutive year. Chinese whole milk powder (WMP) import volumes declined 23.4% on a YOY basis throughout Dec ’20 but remained at the third highest seasonal level on record, while Chinese skim milk powder (SMP) import volumes declined 3.3% YOY, also finishing at the third highest seasonal level on record. Chinese dairy imports excluding SMP and WMP increased 44.0% YOY, however, reaching a record high seasonal level for the seventh consecutive month. The YOY increase in Chinese dairy imports excluding SMP and WMP was the 17^th experienced throughout the past 18 months and the largest experienced throughout the past 35 months on a percentage basis. The market share of Chinese dairy import volumes originating from within the EU-28 increased most significantly on a YOY basis throughout the month of December, while the market share of imports originating from within New Zealand and the U.S. finished below previous year levels. The U.S. market share of Chinese dairy import volumes declined to 8.7%, down from the 10.8% market share experienced during December of 2019. The YOY decline in the U.S. market share of Chinese dairy import volumes was the first experienced throughout the past 14 months. Dec ’20 Total Chinese Dairy Imports Increased to an 11 Month High Level Dec ’20 Chinese Dairy Import Volumes Increased 1.1% MOM and 19.5% YOY Dec ’20 Total Chinese Dairy Imports Reached a Record High Seasonal Level Dec ’20 Chinese WMP Import Volumes Increased 11.3% MOM but Finished 23.4% Lower YOY Dec ’20 Chinese WMP Imports Remained at the Third Highest Seasonal Level on Record Dec ’20 Chinese SMP Import Volumes Declined 15.4% MOM and 3.3% YOY Dec ’20 Chinese SMP Imports Remained at the Third Highest Seasonal Level on Record Dec ’20 Chinese Dairy Imports Excluding WMP & SMP Increased 1.2% MOM and 44.0% YOY Dec ’20 Chinese Dairy ‘Other’ Imports Reached a Record High Seasonal Level Chinese Dairy ‘Other’ Imports Have Accounted for Two-Thirds of the Total Growth Since 2000 NZ and the EU-28 Accounted for Nearly Three Quarters of All Dec ’20 Chinese Dairy Imports The Dec ’20 New Zealand & U.S. Shares of Chinese Dairy Imports Finished Lower YOY The Dec ’20 EU-28 Share of Total Chinese Dairy Imports Increased Most Significantly YOY Chinese Dairy Imports From the EU-28 up the Most Over the Past 12 Months