Ag Equipment Sales Down in April

The Association of Equipment Manufacturers (AEM) reports slower ag equipment sales for the month of April and year-to-date. Overall tractor sales were off by 22.3% for the month and 13.7 YTD compared with 2021. Combine sales were also down 5.6% for the month and 14.5% YTD. The only category of increased sales was for 100+HP 2WD tractors. They increased by 3.2% for the month and 9.5% YTD. The categories showing the largest declines were under 40HP and 4WD tractors. Overall, April was a tough month for tractor and combine sales.

Editor’s Take:

If sales were down, it is only reasonable to ask why. There are a couple of plausible explanations. First and foremost, farmers and ranchers are very busy with planting and calving season. Their attention is getting the crops in the ground, especially in a year like 2022 when planting is very slow across the country due to weather related poor planting conditions. The second reason is availability, particularly the larger tractors and combines. The recent strike at CNHi is only going to make matters worse if it continues for several months as predicted. Just like the current situation in the auto industry, ag equipment manufacturers are also struggling with supply chain shortages on everything from steel to tires and wheels, to computer chips and engine parts. Unfortunately, there doesn’t appear to be a sound, logical solution on the horizon. Farmers have money, they are solid credit risks and they want to purchase equipment and trucks. So, let them know what you have available on AgTruckTrader.com! After all, it also comes with AgPack on every lease or purchase, even new orders!