The company's newly established US R+D Accelerator will pilot a new product from Perfect Day using protein made with a process termed precision fermentation.
The lactose-free protein is identical to the whey protein found in cow's milk with good nutritional and functionality benefits and is suitable for vegans.
The product was developed by Nestlé R&D teams in Switzerland, the food giant added.
Heike Steiling, head of Nestlé's development centre for dairy products, said, "As the world's largest food and beverage company, delivering foods and beverages that are good for people and the planet is a priority. We are exploring emerging technologies that can lead to animal-friendly alternatives that are nutritious and sustainable, without compromising on taste, flavour, and texture.
"Bringing together our unmatched R&D expertise, innovation capabilities and scale, we are working to develop and test novel animal-free dairy protein-based products to complement our wide-ranging portfolio of plant-based alternatives."
The US R+D Accelerator focuses on identifying opportunities and aims to bring highly differentiated product concepts to the market in as little as six months.
"We are excited to pilot Nestlé's first animal-free dairy protein-based products through our US R+D Accelerator," said Joanna Yarbrough, head of the R+D Accelerator.
"While this category is still very young, we know consumers are looking for products that have a reduced environmental footprint, and we are evaluating this avenue as a future growth opportunity for our business."
Dairy products are an important part of Nestlé's portfolio and provide essential nutrients, especially for young children, while milk production contributes to the economic livelihoods of farmers globally, Nestlé noted.
The company will seek to transform its portfolio to provide food that's good for people and the planet, it said, by investing in initiatives to reduce the carbon footprint of dairy, launching more plant-based dairy alternatives and exploring emerging technologies for animal-free dairy proteins.