Strategic Pivot in Chinese Dairy: Feihe Launches ‘Furimmo’ Brand to Reduce Import Dependency

China Feihe (中国飞鹤), the nation’s leading infant formula producer, officially launched its standalone B2B raw material brand “Furimmo” (智纯FURIMMO).

Announced at the Precision Nutrition Industry Conference in Harbin, the launch introduces 6 self-produced functional protein raw materials and 3 specialized premixes. The move marks a structural shift for China’s dairy processing sector as leading domestic players transition from end-consumer goods to high-value upstream ingredient manufacturing.

Core Commercial Drivers & Strategic Context

The commercialization of the Furimmo brand directly targets core supply chain vulnerabilities in China’s expanding functional nutrition sector:

• High Import Reliance: China historically relies on foreign suppliers for over 90% of its whey protein requirements. Global shortages have driven the cost of whey protein concentrate (WPC80) up by 108% over the past two years.

• Market Demand Surge: Domestic demand for protein supplements reached ¥38.7 billion ($5.3B USD) in 2026, up 17.99% YoY, while per-capita protein intake increased 68% compared to 2023.

• Direct Fresh-Milk Extraction: Unlike traditional Western processors that recover whey protein as a byproduct of cheese production, Feihe utilizes physical low-temperature separation applied directly to fresh liquid milk. This direct extraction process produces fresh bioactive proteins with high structural integrity.

Product Portfolio & Downstream Alliances

• Domestic Equipment Autonomy: The initiative relies on China’s first automated lactoferrin line (operational since 2022) and a newly commissioned intelligent α-lactalbumin production line, featuring an equipment localization rate exceeding 80%.

• Strategic B2B Partnerships: Feihe executed strategic supply agreements with leading sports nutrition and health supplement manufacturers—including Kangbit (康比特), Xizi Health (西子健康), and Baihe (百合)—to integrate Furimmo raw materials into commercial supply chains.

Industry Implications: The “Overtaking on a Different Track” Strategy

Analyst models compare Feihe’s raw material pivot to the “换道超车” (overtaking on a different track) model seen in China’s electric vehicle (EV) transformation. By bypassing the traditional cheese-byproduct supply chain model in favor of direct fresh-milk fractionation, Chinese processors aim to establish independent domestic supply chains for high-margin functional ingredients.

Institutional Data & Reference Sources

1. Xinhua News Agency. (2026, August 24). Feihe Launches Raw Material Brand “Furimmo” and Full Life-Cycle Protein Products at Precision Nutrition Conference.

2. Ebrun Financial & Retail News. (2026, August 25). After Electric Vehicles, China’s Dairy Industry Moves to “Overtake on a Different Track”.

3. China Nutrition Health Food Association (CNHFA). (2026). Report on Protein Supplement Market Scale and Ingredient Import Dependencies in China.