Core Viewpoint - The introduction of the national childcare subsidy policy is expected to boost the dairy industry, enhancing consumer confidence and increasing demand for infant formula products [2][3][4]. Group 1: Policy Impact on Dairy Industry - The newly implemented childcare subsidy will provide annual support of 3,600 yuan per child for families with children under three years old, starting from January 1, 2025 [2]. - Following the announcement of the subsidy, several dairy companies saw significant stock price increases, indicating positive market sentiment [2][3]. - Industry experts believe that the subsidy will encourage local governments to introduce complementary measures in areas such as housing and education, further supporting the dairy sector [3]. Group 2: Company Responses and Strategies - Major dairy companies like Feihe, Yili, and Junlebao have announced substantial investments in subsidies for eligible families, with Feihe committing 1.2 billion yuan and both Yili and Junlebao pledging 1.6 billion yuan each [4]. - Companies are focusing on enhancing consumer education and engagement throughout the entire lifecycle of motherhood, from pregnancy to early childhood [3][4]. - The dairy industry is facing challenges such as overproduction of raw milk and a lagging consumer market, prompting calls for innovation and new product development to stimulate growth [4]. Group 3: Market Projections - According to research, the implementation of the childcare subsidy is expected to lead to a significant increase in newborns, with projections indicating an additional 520,000 newborns in 2024, which will positively impact the demand for infant formula [4][5]. - The first quarter of 2025 is anticipated to show a 2.3% year-on-year increase in infant formula sales, a notable improvement compared to previous periods [4].