US milk production starts 2026 strong despite tightening structural signals

Milk production in the United States’ (US) 24 Selected States began the year in a strong position, supported by both herd expansion and higher yields, although it slowed down compared to December. Meanwhile, constrained replacement inventories and an increasing reliance on herd expansion raise questions about the long-term sustainability of output growth. As output expands, falling milk prices and continued consolidation across the sector highlight mounting margin pressure despite abundant supply conditions.