U.S. Tractor and Combine Sales Mixed in October

Unit sales of 4WD ag tractors continued growing in the U.S. in October, making a strong opening of the final quarter of 2023, according to the latest data from the Association of Equipment Manufacturers (AEM).

In the U.S., 4WD tractors grew year-over-year 12.6 percent, the only segment to see growth for the month. Year-to-date, 4WD tractor sales are up 36.2 percent, leading all segments in unit sales growth. Sales of 100+HP tractors is up 5.7% year-to-date and combines following closely with a 4.5% increase for the year. Only sales of smaller tractors 100HP and below show declines for the year.

“The mixed sales results for October reflect the market as a whole,” said Curt Blades, Senior Vice President at AEC. “We are happy to see the continued sales strength in the larger equipment market and remain optimistic for the long-term market.”

EDITOR’S TAKE:

Sales for the month of October 2023 compared to 2022 were down for all categories except 4WD tractors. Combine sales were off the most, but that is to be expected given that farmers have already purchased their new machines for the harvest that is currently underway. However, year-to-date sales paint a much different picture with sales up in all categories except smaller tractors. As explained in the past, sales of smaller “utility” tractors are often more sensitive to the overall economy and the stock market. Once harvest is completed, we expect farmers/ranchers to resume purchases to lower their tax burden using Section 179 deductions. You too can entice farmers and ranchers to use that same IRS code for the purchase of a new truck. In addition, remember, as a CAD member you have up to $32,000 in “hood cash” available through AgPack® to help seal the deal. No other dealers on the planet have that advantage!