Semi-annual report warning: In June, dairy product sales across all channels dropped by 9.6%.

Nielsen IQ data disclosure shows that in June 2025, the total sales of dairy products through all channels decreased by 9.6% compared to the previous year. Among them, the sales through offline channels decreased by 12.7% compared to the previous year. In comparison, during the same period, the total sales growth of beverages through all channels was 4.7%. In fact, due to the declining demand, both the upstream and downstream of the dairy industry are facing contraction. On July 13th, Li Shengli, Chief Scientist of the National Dairy Industry Technology System, Professor at China Agricultural University, and Vice Chairman of China Dairy Association, revealed that the cumulative income loss in the dairy farming industry from 2023-2025 will reach 70 billion yuan, with losses of 20 billion yuan from the industry's fresh milk and powdered milk products. The significant losses in the upstream are a result of the sustained downturn in demand. Nielsen IQ data shows that in 2024, the total sales of dairy products through all channels decreased by 2.7% compared to the previous year.