Market Research Future (MRFR) has published on the “Global Tractor Market”.
The tractor market is estimated to register a CAGR of 4.50% during the forecast period of 2023 to 2032.
MRFR recognizes the following companies as the key players in the global tractor market— Tractors and Farm Equipment Ltd, Kubota Corporation, Deere & Company, Mahindra & Mahindra Ltd., Force Motors Limited, CNH Industrial N.V., Sonalika International Tractors Limited, HMT Limited, Escorts Limited, V.S.T. Tillers & Tractors Ltd
The global tractor market is accounted to register a CAGR of 4.50% during the forecast period and is estimated to reach USD 99.41 Billion by 2032.
The agricultural and construction industries both rely heavily on the tractor market. It offers a large selection of tractors, from lightweight to heavy-duty models, built to handle different jobs on farms and construction sites. Tractors are necessary for earthmoving and material handling in the construction industry, as well as for plowing, planting, harvesting, and other agricultural tasks. The market is a crucial source for the equipment that greatly raises productivity and efficiency in these industries.
The global tractor market has been segmented into power output, drive type and application.
On the basis of power output, the market is segmented into less than 30 HP, 30-50 HP, 51-100 HP, and more than 100 HP. The 30-50 HP segment dominated the global market in 2022. The tremendous rise can be attributed to the low cost, compact size, and superior convenience offered by tractors with less than 40HP to complete all crucial farming duties. These items of equipment are used by the vast majority of farmers in the Asia Pacific region, where 85% of farmlands are smaller than 10 hectares.
Based on drive type, the global tractor market has been segmented into 2 wheel drive and 4 wheel drive. The 2 Wheel Drive segment dominated the global Tractor market in 2022. Middle-class farmers in India prefer 2WD tractors above other makes and models. However, a spike in diesel prices, which is anticipated to be one of the primary worries over the anticipated time, has already increased operational costs for farmers.
Based on application, the global tractor market has been segmented into agriculture, construction, mining, and logistics. Agriculture segment dominated the global market in 2022. Precision farming and a surge in the use of farm equipment to boost output are driving the demand for tractors.
The global tractor market, based on region, has been divided into the North America, Europe, Asia-Pacific, and Rest of the World. North America consists of US and Canada. The Europe Tractor market comprises of Germany, France, the UK, Italy, Spain, and the rest of Europe. The Tractor market in Asia-Pacific has been segmented into China, India, Japan, Australia, South Korea, and the rest of Asia-Pacific. The Rest of the World Tractor market comprises of Middle East, Africa, and Latin America.
The North America tractor market accounted for the healthy market share in 2022. A shortage of skilled workers is expected to drive the industry in the North American area. The presence of the large companies in the region has a stabilizing effect on the market. It is projected that as technology advances in these fields, demand for automated agricultural tractors will rise.
Moreover, Europe tractor market is expected to register significant growth from 2023 to 2032. The development is attributed to an increase in demand for large agricultural tractors, particularly from Italy, Greece, and Lithuania. Additionally, it is projected that during the projection period, rising demand for autonomous tractors will fuel regional market expansion. However, it is projected that a protracted waiting period for new tractor purchases caused by production delays may hamper market growth over the forecast period.
Additionally, the Asia Pacific tractor market dominated this market in 2022 (45.80%).The demand for tractors is being driven by precision farming and an increase in the usage of farm equipment to increase output. Another element propelling the tractor sector is the expansion of farm training programs that encourage the wider usage of agricultural equipment.
Furthermore, the rest of the world's tractor market is divided into the Middle East, Africa, and Latin America. The agriculture and construction industries in the region rely heavily on the Latin American tractor market. It provides a wide range of tractors to meet the various demands of farmers and construction firms. Tractors are necessary for clearing land, cultivating it, and moving it around, which increases agricultural productivity and advances infrastructure. Latin America's market expansion is a result of the area's efforts to modernize agricultural methods and improve construction capacities in order to fulfill rising demand.
Key Findings of the Study