Larger Tractors & Combines Sales Up Again in November

According to AEM’s U.S. ag equipment sales data, farmers and ranchers continue to spend money on large tractors and combines. Sales for November 2022 compared to 2021 show 100+HP tractors up 6.2%; 4WD tractors up by 7.1%; and combines increased by 8.3%. Smaller tractor sales decreased during the same time period.

Year-to-date through November, sales of 100+HP tractors were up 13.3%; 4WD tractors are down by 6.0%; with combine sales up 15.7%. Smaller HP tractor sales are down for the year.

EDITOR’S TAKE:

Larger farms, larger equipment! As we have shared in previous issues of the AIR, smaller HP tractors are more tied to the general economy and the stock market versus the agricultural economy. Small HP tractors are often purchased by “weekend farmers” or sometimes referred to as LPO’s (Large Property Owners). They have a job in town and a get away property for the weekend.

November’s report clearly shows that farmers/ranchers are in a buying mood. They have cash (see the story on net farm income in 2022) and need to lower their tax burden as well as prepare for 2023. We have also shared that many farmers/ranchers intend to purchase a lot of trucks in the coming months. Now is the perfect time to target your marketing efforts towards these great customers by signing up for CAD 2.0 and putting your inventory on AgTruckTrader.com. Don’t miss out on this golden opportunity to target farm/ranch customers in your area!