This mild green chile queso is fast, smooth, and reliably creamy. Sautéed onion and green chiles add real flavor without overwhelming heat, while American cheese gives you that classic, velvety melt that stays stable on the stove. Serve it with chips, then keep it warm for drizzling over nachos, burgers, fries, tacos, or quesadillas. This is a fan favorite at my house. This is the perfect addition for watching the game.

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What makes this mild Green Chili Queso the perfect cheese dip to try?
Do you think you’ve already tried truly great queso? Think again. This Green Chile Queso recipe is a distinct departure from the classic version, combining sautéed green chile peppers with creamy American cheese. This queso with green chiles comes together in just minutes, but the result is a cheesy sauce that balances richness with mild heat.
Enjoy Green Chile Queso as a dip with chips, or spoon it over quesadillas, burgers, fries, tacos, or just about anything else that could use a boost of ooey-gooey cheesy comfort.
Green Chili Queso ingredients and their roles
For this Green Chili Queso recipe, you’ll need:
- White onion – heat softens and sweetens it, making it the ideal base for the queso while tempering the heat from the green chiles.
- Green chile peppers, large. Anaheim and Hatch peppers are both great options – they supply gentle heat to the queso, and distinguish this Green Chile Queso recipe from standard queso. Both Anaheim and Hatch peppers are mild enough not to overpower the other flavors, but still deliver substantial chile flavor.
- Unsalted butter – helps to saute the onions and chile peppers and adds richness to the queso.
- American cheese – melts easily without breaking and is a good substitute for traditional Mexican cheeses that can be difficult to find in most supermarkets.
- Whole milk – loosens the cheese and creates a smooth and creamy dip.

How to make Green Chile Queso
To prepare this Green Chile Queso recipe:
- Dice the onions and green chiles. Set to the side.
- Place a medium saucepan over medium heat, then add the unsalted butter.
- Stir the butter until it stops foaming, then add the diced white onions and green chiles.
- Sauté the onions and green chiles until the onions are translucent, about five minutes.
- While the onions cook, shred the American cheese.
- Reduce the heat to medium-low and add the American cheese.
- Stir in the whole milk.
- Continue to stir until the cheese melts and there are no more lumps.
- Transfer the queso to a serving bowl and serve warm.
- Garnish with chopped cilantro or sliced green onions if you desire
- If serving at a party, we like to put this in a small slow cooker on the warm setting.

What to serve with Green Chile Queso
While this queso dip is great on its own, it is even better when you offer your guests a few additional dishes to go with it. Here are three delicious recipes that make rooting for your favorite team even tastier!
Tortino’s Pepperoni Pizza Rolls – These bite-sized pizza pockets are everyone’s favorites. This copycat recipe makes it easy to recreate the frozen snacks at home by using wonton wrappers instead of dough. The results are extra-crunchy pizza rolls that are stuffed with jarred pizza sauce, low-moisture mozzarella, and plenty of savory pepperoni.
Hooters’ Fried Pickle Chips – This appetizer may sound a bit odd at first, but one taste, and you’re sure to become a fan. The dill pickle chips, tossed in well-seasoned flour, fry up crisp and golden, delivering a tart kick. Serve these Fried Pickle Chips with your favorite dipping sauce, such as Raising Cane’s or Wingstop Ranch Dip.
Texas Roadhouse Rattlesnake Bites – Green Chile Queso offers mild heat, but Texas Roadhouse Rattlesnake Bites turn up the flame. These seasoned cheese balls are studded with pickled jalapeno peppers and then rolled in breadcrumbs. Once fried, their crunchy exterior and cheesy middle make them irresistible. Serve them warm with Cajun Horseradish Sauce for an extra kick.

Storing and reheating instructions for queso with green chiles
Although the queso will taste best the same day you prepare it, you can save any extra queso you did not serve. Cool the queso to room temperature and then transfer it to an airtight container. Place the container in the fridge for up to three days. Green Chile Queso does not freeze well. The longer the queso sits in the fridge, the thicker it will become, but that is normal.
Spoon the chilled queso into a small saucepan, add a few splashes of whole milk to loosen it, and stir. Heat the thinned queso over low heat. Stir frequently and don’t allow the queso to simmer, or you risk the cheese separating. Serve warm.

Love queso? Try these recipes!
- Applebee’s Queso Blanco
- Chili’s Skillet Queso
- Chipotle Mexican Grill Queso Blanco
- H-E-B Brisket Queso
- Monterey’s Little Mexico Queso
- Pappasito’s Queso
- Restaurant-style White Queso
Check out more of my easy recipes for dips and the best Mexican food recipes right here on CopyKat!
Green Chile Queso
Ingredients
- 1/2 cup chopped white onion
- 2 large green chili peppers such as Anaheim or Hatch peppers finely diced
- 2 tablespoons butter
- 1 pound American cheese
- 1/3 cup milk
Instructions
- Place the onions and peppers in a skillet over medium heat. Add the butter and sauté until the onions are translucent.
- Add the American cheese and milk and reduce the heat to medium-low. Cook, stirring frequently, until the cheese is melted.










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