He also appears to be seated in a luxurious home during the commercial, according to 7 News.
Phillips is seen interacting with a butler who offers him a glass of the product he’s spruiking.
He then raises his glass and declares: “This is what I drink.”
According to multiple reports, two commercials for Chinese company Bright Dairies have been played on Dragon TV.
After the ad surfaced online, a number of monarchists took to social media to criticise him for using his aristocratic status to make money.
“While the media has a row over whether it is right for Harry and Meghan to make money using their status as a Royal, the Queen’s grandson has appeared in China on a milk advert doing just that,” one person wrote.
“That is quite surreal, literally milking the system,” another tweeted.
“Unbelievable what people do for a few pennies. It is like they don’t see the Queen’s behaviour all her life and don’t learn anything from her. I feel for her majesty,” another said.
According to the Daily Mail, Kitty Spencer is also exploiting royal connections by plugging rival Chinese dairy brands to the Peter's.
Endorsing Satine Jersey milk, Earl Spencer’s daughter, 29, who is a first cousin to Princes William and Harry, said she was thrilled, saying: "The day of the Royal Family usually begins with a cup of milk or a cup of tea."