Ag Tractor Unit Sales Continue Growth Streak Into 2022

Overall ag tractor sales in the U.S. continued rising into January 2022, while combine harvesters slowed for the month according to the latest data from the Association of Equipment Manufacturers (AEM).

U.S. total farm tractor sales gained 1.5 percent for the month of January compared to 2021, while U.S. self-propelled combine sales for the month fell 41.4 percent. The 100+ horsepower 2WD segment led all segments with a 10.8 percent gain, followed by the sub-40 horsepower 2WD segment up 2 percent. Mid-range tractors between 40 and 100 horsepower fell 2.8 percent while articulated 4WD tractors inched down 0.4 percent.

“The sales trend we’re seeing started in June of 2020 and has reliably remained above the 5-year average since then,” said Curt Blades, Senior Vice President, at AEM. “The strength of ag markets, plus farmers seeing the value in the new technologies, is driving demand.  At the same time, the lingering effects of the supply chain remain a concern.”

EDITOR’S TAKE:

The biggest issue for equipment sales currently is product availability. Supply simply can’t keep up with demand. The other issue is timing – farmers are preparing for planting season, not harvest. Sales of combines, especially since they are in short supply, was certain to pull back temporarily. The good news is that farmers are purchasing what is currently available – mostly tractors. There is plenty of strength in the equipment market to carry us well into 2022. Farmers/ranchers will also be looking for new trucks. Make sure they know you are a CAD member and can offer AgPack.