# China’s reduced buying has sent prices lower

> The IMF cut its GDP growth forecasts for most developing countries, lowering 2022 growth by 0.2% and 2023 by 0.5%. Chinese milk imports fell 24.4% in June, or 463,000 MT of milk equivalent, more than the decline in production among major exporters. Exporters must now find other buyers for product previously destined for China.

- Date: 2022-08-01 · published 2022-08-01T12:00:00.000Z
- Category: trade · region China · magnitude medium
- Page: https://feedsoft.ai/events/4580-china-s-reduced-buying-has-sent-prices-lower
- Commodities: [Milk (Class III)](https://feedsoft.ai/c/MILK.md)

## Why it matters

The drop in Chinese import demand is the main driver of weaker global dairy prices, and it shifts export volumes to other markets. Lower GDP forecasts also trim Oceania dairy price expectations for 2022 and 2023.

## Read by commodity

- MILK: bearish ▼

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| MILK | 2022-08-08 | 5 | -11.5% | -4.2 | Chinese milk imports fell 24.4% in June, reducing export demand and pressuring global dairy prices. |
| MILK | 2022-08-07 | 5 | -11.5% | -5.0 | China's milk imports fell 24.4% in June, so exporters must find other buyers, which weighs on global dairy prices and sentiment. |
| MILK | 2022-08-03 | 1 | -10.6% | -10.5 | Sharp fall in Chinese dairy imports leaves exporters seeking other buyers, a bearish trade-flow factor that pressures prices. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| MILK | 2018-07-06 | [New Chinese Tariffs Mean Lower Prices For Wisconsin Farmers - WPR](https://feedsoft.ai/events/4970-new-chinese-tariffs-mean-lower-prices-for-wisconsin-farmers-wpr.md) | -0.4% | +3.1% |
| MILK | 2020-08-05 | [Dairy prices plummet at GDT auction as China demand slackens](https://feedsoft.ai/events/8829-dairy-prices-plummet-at-gdt-auction-as-china-demand-slackens.md) | -21.0% | -19.2% |
| MILK | 2025-04-04 | [Class III Milk Futures Drift Lower as China Tariff News Shakes Markets](https://feedsoft.ai/events/5644-class-iii-milk-futures-drift-lower-as-china-tariff-news-shakes-markets.md) | +1.5% | +8.9% |
| MILK | 2020-01-04 | [US dairy farmers battle extinction Trump trade wars lower milk prices](https://feedsoft.ai/events/4661-us-dairy-farmers-battle-extinction-trump-trade-wars-lower-milk-prices.md) | +0.6% | +0.6% |
| MILK | 2018-01-30 | [Changing Export Dynamics Affect U.S. Milk Prices – Lakeview Grains, LLC](https://feedsoft.ai/events/67122-changing-export-dynamics-affect-u-s-milk-prices-lakeview-grains-llc.md) | -1.2% | -3.4% |

## Sources

- hoards.com: https://hoards.com/article-32312-China's-reduced-buying-has-sent-prices-lower.html

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.