Cattle heat stress causes billions of dollars' worth of losses to meat and milk production globally, and is projected to become more severe in the future due to climate change. Tree establishment in pastoral livestock systems holds potential to reduce cattle heat stress and thus provide nature‐based adaptation. We developed a general model for the impact of trees on cattle heat stress, which can project milk and meat production under future climate scenarios at varying spatial scales. The model incorporates the key microclimate mechanisms influenced by trees, including shade, air temperature, humidity, and wind speed. We conducted sensitivity analyses to demonstrate the relative influence of different mechanisms through which trees can impact cattle heat stress, and how tree impacts are influenced by climatic context globally. Trees hold the greatest potential to reduce cattle heat stress in higher latitudes and altitudes, with minor benefits in the lowland tropics. We projected the future contributions of current trees in mitigating climate change impacts on the dairy and beef herds of Aotearoa—New Zealand (A‐NZ) in 2070–2080. Trees were simulated to contribute to A‐NZ milk yields by over 491 million liters (lower CI = 112 million liters, upper CI = 850 million liters), and meat yields by over 8316 tonnes (lower CI = 2431 tonnes, upper CI = 13,668 tonnes) annually. The total economic contribution of existing trees in mitigating future cattle heat stress was valued at $US 244 million (lower CI = $US 58 million, upper CI = $US 419 million). Our findings demonstrate the importance of existing trees in pastoral landscapes and suggest that strategic tree establishment can be a valuable adaptation option for reducing cattle heat stress under climate change. Tree establishment in the next few years is critical to provide adaptation capacity and economic benefit in future decades.