Beingmate Baby & Child Food Co, part-owned by Kiwi dairy giant Fonterra, has reported a wider net loss for 2017 than had previously been forecast.

The Chinese food manufacturer, which Fonterra has an 18.8 per cent stake in, reported a loss of 1.06 billion yuan ($236 million), Reuters reports.

That's up from a loss of 780.67 million yuan a year ago and from previous forecasts of a loss of 764m-966m yuan for the year.

Reuters said the company, listed on the Shenzen stock exchange, was in a trading halt "as it will implement a delisting risk warning" and that it expects trading to resume today.

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Beingmate, which distributes infant formula and baby food throughout China, sells Fonterra's Anmum product through a joint venture.

Beingmate has struggled to perform since Fonterra spent $755m on acquiring its stake in 2015, and analysts have long questioned whether the holding was big enough for Fonterra to influence the company's direction.

Fonterra said earlier this year that despite Beingmate's performance, the strategic rationale for its broader partnership with Beingmate still stood.

China is one of Fonterra's largest global markets, accounting for $3.4 billion of sales revenue and a normalised earnings contribution of greater than $200 million in 2017.

Upon entering the Beingmate alliance in 2015, Fonterra chief executive Theo Spierings said China was a key strategic market for Fonterra, and the global partnership would provides significant growth potential for both companies. Fonterra has a 49/51 per cent joint venture with Beingmate to make formula at Darnum, Victoria.