Media Updates, page-15162

https://mp.weixin.qq.com/s/8zYdta4dyqJ7d5Dh87yijQ

This report provides an in-depth analysis of the Chinese infant formula market as of early 2025, highlighting key trends, competitive dynamics, and emerging opportunities.

Key Takeaways:

1. Market Concentration & Competition

•Top five brands:

1.Feihe (飞鹤)

2.Yili Jinlingguan (伊利金领冠)

3.Danone (达能, including Aptamil 爱他美)

4.FrieslandCampina (美素佳儿, Friso Prestige)

5.a2 Milk (a2® 至初®)

•Market concentration is increasing, with top brands gaining more market share, while smaller brands struggle to maintain relevance.

•Feihe remains the dominant player, with a 19.2% share of the total infant formula market, 22.7% in offline retail, and 13.8% in online sales.

2. Innovation Driving Growth: HMO & Specialty Formulas

•Human Milk Oligosaccharides (HMO) boom:

•Danone (纽迪希亚, Nutricia) launched Nuconte Xino HMO with amino acid formulas in May 2024.

•Mead Johnson (美赞臣) introduced Pro Pro with dual-protein hydrolysis & LGG probiotics in October 2024.

•Mengniu (蒙牛) is restructuring its milk powder business after Yashili’s delisting, focusing on its Renmayne brand and premium formulas for middle-aged consumers.

3. Domestic Brands Expanding Overseas

•International expansion is now a necessity due to China’s declining birth rateand shrinking domestic demand.

•Feihe is leading this push, having built a factory in Canada, with Royal Canadian Meek gaining approval from the Canadian Food Inspection Agency to produce infant formula.

•NielsenIQ reports a 3.9% YoY decline in overall infant formula sales in China (Jan–Aug 2024).

4. Challenges in Overseas Expansion

•Tough international regulations:

•Australia and Thailand have strict advertising bans on infant formula for babies under 12 months, limiting market penetration.

•Competing against established Western brands with strong consumer loyalty remains a major hurdle.

5. Goat Milk Powder Market Maturity

•124 goat milk formulas have been registered under China’s new national standards as of 2024.

•The initial boom in goat milk powder demand is slowing, leading companies to diversify.

•Kabrita (佳贝艾特, Ausnutria) remains the global leader, with +20.2% revenue growth and +50.7% YoY growth in overseas markets.

•Other brands (Blue River, Danone, Mead Johnson) are adopting a “cow & goat” dual-strategy, expanding their organic, small-molecule, and specialty formulations.

Looking Ahead: 2025 Industry Outlook

•The infant formula market remains highly competitive, with top brands focusing on innovation, overseas expansion, and premiumization.

•New business models & specialty categories (e.g., organic, HMO, hydrolyzed protein) will be key growth drivers.

•On February 25, 2025, in Nanning, Guangxi, the “Outlet · New Channel & Growth Category Conference” will discuss the future of baby nutrition markets in China.

This report underscores a2 Milk’s strong market positioning in China, but also highlights the challenges of competing with Feihe, Yili, and Danone, as they dominate market share and invest heavily in innovation and international expansion.;