U.S. sales of tractors and combines remained positive at the mid-year mark, with all machine categories in the plus column, according to the latest data from the Association of Equipment Manufacturers (AEM).
U.S. sales of self-propelled combines at mid-year 2018 grew 20.5 percent compared to 2017 January-June; U.S. sales of the machines in June grew 4 percent compared to June 2017.
January-June U.S. sales of 4-wheel-drive tractors gained 5 percent over 2017 year-to-date sales; June sales jumped 23 percent compared to last year.
Total U.S. sales of 2-wheel drive tractors at mid-year grew 6.5 percent over the same time period in 2017; all categories were positive, with strongest gains in the under-40 HP category at 8 percent.
For 2-wheel drive tractors, June U.S. sales in the 100-plus HP category increased 16 percent, under-40 HP tractors grew 15 percent, and 40-100 HP 2-wheel drive tractors gained 4 percent.
“The Ag equipment industry is improving and moving toward a demand replacement cycle. Because of this, we see the opportunity for continued growth in tractor and combine sales for the rest of 2018,” said Scott Harris, Case IH Vice President, North America.
"We view 2018 as a rebuilding year for agriculture; we’ve experienced a steadily improving economy, tax reform provides incentives and machines need to be replaced,” said Curt Blades, AEM senior vice president, AG services. “We’re still concerned with the impact of tariffs and trade wars on continued stability for manufacturers and their customers.”
“We’re encouraged by recent House and Senate passage of their 2018 Farm Bills, and we are emphasizing cooperative action on a final bill. Inclusion of crop insurance safeguards and other provisions will help provide some business certainty for farmers and ranchers,” said Blades.
Here is link to the full report online: https://www.aem.org/AEM/media/docs/Statistics/18-06-USAG.pdf.
AEM is the North American-based international trade group representing off-road equipment manufacturers and suppliers, with more than 950 companies and more than 200 product lines in the agriculture and construction-related industry sectors worldwide. The equipment manufacturing industry in the United States supports 1.3 million jobs and contributes roughly $159 billion to the economy every year.